Modernisation of the grading system

n n n Trade Unions
Associated minimum wage structure and the merging of Grade G and Grade H.

Grade G and Grade H within the agreement should be removed.
Grade F to be created within the agreement which would be the lowest grade within the industry.

Grade G and H would be categorised in Grade F.

Modalities of getting workers who are in Grade G and H to be categorised in Grade F would be worked upon.
Training for Grades G and H for the purpose of the Grades to be categorised as Grade F.

The new wage structure with regards to the migration of the current wage structure would be phased in over a certain period of time.

The new entry rate should be within the proposed Grade F and above the current structure of Grade G and H. 60% of the artisan rate should form part of Grade 1 rate. 10% differential between each Grade.
Broaden the scope of the main agreement to include non-scheduled employees.

Review of the exemption policy and section 23 of the Engineering Main Agreement

n n n Trade Unions
Upon application for an exemption Companies should pay wage increases or retrospective payment are to be made upon the company not receiving the exemption.

Prior to a company applying for an exemption negotiations should be reopened directly with the company whether the company is a party or non-party to the council. The exemption policy is incorporated into section 23 of the engineering main agreement and be gazetted.

In the exemption policy includes reference to the fact that companies cannot apply for an exemption without providing audited financial statements and management accounts. The application for all exemptions e.g. ex gratia payments should not be presented at the Independent Exemption Appeal Board before it has been heard at a regional level to maintain status quo.

When an application for an exemption is declined at a regional level an oral submission at the IEAB is requested by the company however the oral submission would be required at a regional level as well.

The exemption policy must be included into section 23 of the engineering main agreement and reference is made to the fact that companies cannot apply for an exemption without providing audited financial statements and management accounts.

The exemption policy should include a checklist to ascertain whether companies comply with all clauses of the main agreement before an application for exemption can be considered.

The exemption policy should make provision for the exemption to be reconsidered when a company’s financials improve.

n n n Action
Labour to revert

Extension of the scope of the Main Agreement into non-scheduled employees

n n n Trade Unions Non-scheduled employees to be covered by the scope of the Main Agreement and parties to submit to the forum the non-scheduled employees whom they have identified and the council to assist with providing all the categories.

All non-scheduled employees to be included in the scope of the main agreement.

Incorporation of House Agreements into MEIBC n n n Trade Unions House Agreements to be brought back to the council so that when negotiations take place in one forum the agreement cascades to each plant and the conditions which exist would not be varied.

Amendment of section 37 of the Engineering Main Agreement n n n Trade Unions Section 37 of the Engineering Main Agreement to be removed as party trade unions must be able to negotiate within any plant or company issues that are not covered by the Main Agreement.. Issues which are not covered in the clause can be excluded and discussed at a plant level.

Legal Compliance
n n n Trade Unions
Employers are of the view that legal compliance is an area that trade unions and employers share a common objective. Legal compliance is linked to the ability of the bargaining council to enforce compliance.

Legal compliance is linked to the bargaining council having a better understanding of the industry and hence the need to strengthen and build the bargaining council’s database. Legal compliance is linked to the bargaining council having sufficient agents and resources to monitor and enforce compliance.

n n n Employers
Legal Compliance is linked to the capacity of the bargaining council to enforce compliance. Legal Compliance is linked to the capacity of the bargaining council to have a better understanding of the industry and database.

Legal Compliance is linked to the ability of the bargaining council to have a sufficient number of agents and resources at its disposal to ensure that compliance takes place.

New entry level minimum rates
n n n Employers
Introducing some form of corridor into the industry for new entrants that are currently unemployed at a rate that is more favourable to the current rate.
Create the possibility of new jobs to create the opportunity for people to get jobs in the industry.

Reducing the entry level wage rate for new entrants into the industry measured against the gazetted rates. Reduction in the scheduled wage rate that must hold for a period of time not for 1 or 3 years it must be there for some considerable length of time.

A new entrant who enters the industry would be at a lower level but each year that there is an industry increase of a certain percentage that is agreed the new entrant would benefit from the increase.

The challenge is to ensure that there is no abuse of the system whereby employers discharge expensive employees and replace them with cheaper new entrants. The employers parties believe that the terms could be negotiated and the issues discussed to come up with a process that protects existing employees.

Small business
n n n Employers

The Application for dispensation for a small employer needs to be a lot less cumbersome, bureaucratic and a lot more user friendly.
The number of employees that constitutes a small business to be increased to 30 or less.

The period of 3 years which classifies a small business should be removed.

Regional dispensation and / or sectorial dispensation
n n n Employers
In the past regions like East London had a regional dispensation and / or sectorial dispensation and / or a blanket exemption the principle of accepting that within certain regions a model is required for that region.

A rural wage exemption should be reintroduced.
The Port Elizabeth and Midlands (for example) area would require a similar dispensation.

Other dispensations to consider would be Economic Zones or a contribution of the area to gross domestic product of the country.

Violence during strikes and lockouts
n n n Employers
Discussions on how to conduct next year’s collective bargaining with the Unions.

Committing to a broad framework on recommending to respective constituency how strikes and lockouts would be conducted.

Employers will recommend to their members that they sign off on a set of lockout rules and the Unions would recommend to their membership that they sign off on a set of strike and picketing rules.

The framework on both sides would be agreed at national level.

As the dispute unfolds there should be a commitment at national level that members are committed to conducting themselves accordingly when the strike happens companies have been given good time and unions have communicated through the different structures in good time to conclude company to company strike and picketing rules.

The facilitator proposed that the employers talk to labour to establish a principle agreement.

n Reviewing and understanding the total cost of employment in the industry is debated and understood.

n A methodology of linking remuneration to performance in the context of a collective agreement.

n The motivation for being in business ROI, growth and employment.
Outstanding Issues that are being dealt with at the MEIBC Stanco Task Teams.
n Constitutional Amendments and Revision

n Scope of the Main Agreements

n Main Agreement Exclusions

n Main Agreement – Simplifications – Paul Benjamin version

n Demarcations – Policy and Procedure

n Jurisdiction – Policy and Procedure

n CDR Rules

n Sick Notes – Homeopaths

n Section 29 – Injury on Duty

n Sick Pay Fund – Maternity benefit

n Jurisdictional S62 Disputes

• MEIBC vs. EIBC

• MEIBC vs. SCPNPI

n Distressed Sectors

• Usher & Lasher

• Industry Policy Framework Agreement

n Corporate Permits

• Strategic Agreement – MEIBC – DTI / DOL / DHA

• Operational Engagement – DOL & interaction DTI

• Pilot Project – Limpopo Province

• Development of an MEIBC Policy

n MEIBC Policy – Unforeseen Circumstances – Death of Injury in Duty