StatsSA's latest unemployment figures have raised questions across all sectors of South Africa.
Trade Union Federation Cosatu is calling for the tightening of labour laws to make it harder for employers to retrench workers. It wants government to review section 189 of the Labour Relations Act which regulates the conditions and processes for retrenchments by employers.
Labour analyst, Mamokgethi Molopyane discusses Cosatu's views with Africa Melane.
She says Cosatu's call is not really viable because business and government will tell Cosatu it should have discussed the issue at Nedlac.
Businesses would argue restructuring or retrenchment processes need to be in place in order for them to survive at times, she says
It is hard for government to impose on companies laws that say you cannot retrench people or restructure your operations.— Mamokgethi Molopyane, Labour analyst
Cosatu's call is a late call and a reactionary one because retrenchments have been happening over the past 15 years on an even larger-scale than now.— Mamokgethi Molopyane, Labour analyst
She says the federation is possibly taking a populist rhetorical stance in an attempt to remain relevant.
She says given the dire state of the economy and lack of growth, it is not surprising companies are restructuring and being forced to retrench.
It is nothing new.— Mamokgethi Molopyane, Labour analyst
However, she says, companies need to engage properly with unions when planning such actions.
Listen to the interview below:
This article first appeared on CapeTalk : Cosatu's call for retrenchment law review is 'reactionary'