Competition Commission to clamp down on schools with exclusive uniform contracts

Competition Commission communications head, Sipho Ngwema says most private and former Model-C schools have not yet complied with the Act in terms of the sale of 'generic' school uniforms.

He says the majority of schools claim that they have not seen nor received a circular sent to them by the Department of Education which stipulates the terms of the sale of school uniforms.

The circular states that the uniform must be as generic as possible and should be available from as many suppliers as possible, says Ngwema.

Read: Claims of kickbacks paid to schools implicated in uniform price fixing

There must be a competitive bidding process which leads to a contract and the contract must be of a limited duration.

Sipho Ngwema, Head of Communications at Competition Commission

Those things are currently not happening, meaning most schools still have exclusive contracts with suppliers ...In fact one of the contracts dated back to 1974.

Sipho Ngwema, Head of Communications at Competition Commission

The exclusive contracts mean that parents are exposed to higher prices and coaxed to buy from one supplier, says Ngwema.

He says the investigation into this matter will be concluded in the next few weeks and a decision would be made in terms of which steps to take for those who are in breach of the Act.

One of the instruments would be to be to fine those who are in breach of the Act. Secondly, we will refer them to the tribunal for prosecution.

Sipho Ngwema, Head of Communications at Competition Commission

We have many things that we can do and the law is on our side in terms of we can fine up to 10% of the revenue.

Sipho Ngwema, Head of Communications at Competition Commission

So far the Commission says there has been a lot of cooperation from school principals and suppliers.

To hear more of this conversation with the Competition Commission with regards to school uniforms, listen below:


This article first appeared on CapeTalk : Competition Commission to clamp down on schools with exclusive uniform contracts


Recommended

by NEWSROOM AI

702 welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the 702 community a safe and welcoming space for all.

702 reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

702 is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
Tips for saving on back-to-school expenses

Tips for saving on back-to-school expenses

The festive season has barely passed and back to school is upon us, and so too are those additional expenses that can quickly add.

Red and Yellow Creative School of Business aims to tackle unemployment head-on

Red and Yellow Creative School of Business aims to tackle unemployment head-on

Chair Rob Stokes says Red and Yellow boasts a 98% job placement rate for their students who complete their studies.

Nearly 11 200 WC pupils still need school placement

Nearly 11 200 WC pupils still need school placement

Education MEC Debbie Schafer says 3 200 grade 1 pupils and 4 400 grade 8 pupils must be be placed into for the 2018 academic year.

[LISTEN] What to do if you did not fare well in your final matric exams

[LISTEN] What to do if you did not fare well in your final matric exams

CEO of Skills Academy Jan Badenhorst spoke to Relebogile Mabotja to give some guidance on what next.

Hoërskool Overvaal vs Gauteng Education court battle postponed

Hoërskool Overvaal vs Gauteng Education court battle postponed

The Education Department argues that the school is using its Afrikaans language policy to exclude black English speaking learners.

Claims of kickbacks paid to schools implicated in uniform price fixing

Claims of kickbacks paid to schools implicated in uniform price fixing

In 2016, the Competition Commission launched a probe into the high cost of school uniforms.

3 tips on how to survive 'Janu-worry' after the festive season

3 tips on how to survive 'Janu-worry' after the festive season

Personal finance expert Frank Magwegwe chats to Azania Mosaka about tips to recovering from the holiday spending binge.

Psychological support is crucial starting at a primary school level - expert

Psychological support is crucial starting at a primary school level - expert

Educational psychotherapist Cara Blackie says while parents should seek help, more support is needed within the schooling system.

Commission: Over 30% of investigated schools keeping exclusive uniform contracts

Commission: Over 30% of investigated schools keeping exclusive uniform contracts

The Competition Commission says that exclusive contracts are unlawful and many have resulted in exorbitant uniform prices.

Eusebius Opinion: "Let go Kevin Pietersen, you do not own the school"

Eusebius Opinion: "Let go Kevin Pietersen, you do not own the school"

McKaiser responds to former SA, now England cricketer Pietersen's comments over Maritzburg College pupils holding EFF t-shirts.

Competition commission receives more complaints over uniform price fixing

Competition commission receives more complaints over uniform price fixing

The Competition Commission says it has extended its probe into the matter.

Dis-Chem Foundation: Recovering drug addicts get a helping hand

Dis-Chem Foundation: Recovering drug addicts get a helping hand

Dis-Chem Foundation and 702 met two men who run an outpatient counseling and after school facility through NGO Ladies for Hope.

School uniform monopoly under scrutiny

School uniform monopoly under scrutiny

School Governing Body Foundation is not in support of schools using designated shops for school uniform, says it is unacceptable.

School uniform should be accessible and affordable - Competition Commission

School uniform should be accessible and affordable - Competition Commission

The Commission will be intensifying efforts to look into exclusive arrangements between uniform suppliers and schools management.

Competition Commission probes R10bn school uniform industry

Competition Commission probes R10bn school uniform industry

The probe will look into anti-competitive practices between schools and suppliers across the country.

Popular articles
5 highlights from Pravin Gordhan’s state-owned company clean-up

5 highlights from Pravin Gordhan’s state-owned company clean-up

The Money Show’s Bruce Whitfield interviews Corruption Watch Executive Director David Lewis.

ANC Tshwane says the City's mayor knew of the looted R12 billion

ANC Tshwane says the City's mayor knew of the looted R12 billion

ANC Tshwane spokesperson Bafuze Yabo gives details of their planned action against the City of Tshwane.

Jacques Pauw: We need more evidence on the 'The Lost Boys of Bird Island' book

Jacques Pauw: We need more evidence on the 'The Lost Boys of Bird Island' book

Investigative journalist and author Jacques Pauw shares his thoughts on 'The Lost Boys of Bird Island' book.

[WATCH] Kid goes from 'be a fart machine at work' to 'I love you dad'

[WATCH] Kid goes from 'be a fart machine at work' to 'I love you dad'

Khabazela shares tweets & videos that have gone viral including a parrot that told firefighters the F-word during its rescue.

'Black Tax'... working hard, earning well, but struggling financially

'Black Tax'... working hard, earning well, but struggling financially

Young(ish) South Africans tell stories of the mixed emotions they feel when supporting family members, and tips from an advisor.