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News Article - Agriculture
Historic zone labour agreement for Coega
Posted on: Friday, 01 November 2002. Article source: Eastern Cape Business News
UNION OFFICIALS and employer representatives have signed an historic zone labour agreement to standardize labour relations in the Coega Industrial Development Zone (IDZ) near Port Elizabeth. The landmark agreement, the first for an IDZ in South Africa, seeks to create a stable labour environment in the development zone, which will benefit workers, contractors and investors. Hailed as in the best interests of the Eastern Cape and as a standard for industrial development zones across the country, the agreement will apply to all construction projects in the Coega IDZ, being developed by the Coega Development Corporation, as well as the adjacent Port of Ngqura, being developed by the National Ports Authority. The 100-page agreement deals with a wide range of issues, including: induction programmes; employment contracts; disciplinary and grievance procedures; bonuses; public holidays and leave. It also covers the provision of free accommodation in specially constructed villages for skilled permanent employees seconded to Coega by contractors, free transport to and from the zone for workers and the provision of free lunch packs. The Coega agreement has set a precedent for other IDZ ' s and industries throughout South Africa, says spokesperson for the eight unions involved, Matthew Mncwabe. "Different industries and other provinces can benefit from our experiences. We have shown that it is possible for trade unions from different federations and divergent schools of thought to work together towards a common goal. "Together we have established a clear foundation for the entire South African community by showing that we are capable of putting our differences aside and putting the development of our country first. "In fact, the diversity of the union negotiators added to our strength as we covered all sectors and came up with solutions which we may not otherwise have been able to develop as individual unions, " he says. "The agreement means that contractors can focus on what they do best,” says spokesperson for the five employer organisations involved in the agreement, Hennie Botha. "Although items like lunch packs, transport and up-market accommodation may seem to add to the costs, the experience is that they help improve productivity on site. Construction workers and managers who have had a good meal and are not tired out by the journey to work are naturally better equipped for the job," says Botha. Among the main beneficiaries of the agreement are the people of the Nelson Mandela Metro. A minimum of 70 per cent of the entire labour force has to be recruited locally, in terms of the agreement. Both unionised and non-unionised workers will be employed in the Coega IDZ, through a unique job-seeker database which the CDC has piloted. "We negotiated in the broader interests of the people of the region who need jobs. Naturally, we anticipate that many of the workers will become members of a union, but these negotiations were not about the narrow interests of our members or a particular union. "It was negotiated without us having a single member on site. The unions entered the negotiations in the broader interests of the Eastern Cape and of South Africa,” says Mncwabe. Coega Development Corporation human resources manager Johan Fourie says the agreement represents a proactive approach to developing sound labour relations in the zone. "It provides the basis for labour stability. This will make Coega more attractive to investors, because one of the key drivers for investors is to have a stable and productive labour environment. "It is the people who will make the Coega IDZ succeed. We want to ensure that the industrial relations practices, procedures and processes that are implemented in the zone during the development and construction phases are uniform and of the highest standard, " says Fourie. Crucial to the CDC is the creation of an environment that is healthy, safe, efficient, productive, harmonious and free of disruption. National Ports Authority negotiator Johan Hagen says the agreement "shows that all differences can be resolved through negotiations”. The labour unions involved in signing the Coega IDZ labour agreement are: National Union of Mineworkers (NUM), Building Construction and Allied Workers Union (BCAWU), National Union of Metalworkers of South Africa (NUMSA), National Employees Trade Union (NETU), Amalgamated Union of Building Trade Workers Union (AUBTWU), South African Equity Workers Association (SAEWA), MWU Solidarity, and the Metal Electrical and Allied Workers Union of South Africa (MEAWUSA). The employer organisations were: The South African Federation of Civil Engineering Contractors (SAFCEC), the Construction Engineering Association (SA), East Cape Master Builders Association (ECMBA), Electrical Contractors Association (ECA), and the Electrical Contracting and Allied Industries Association (East Cape).
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