* Labour brokers...... Trading our People away*
**The decision of the Minister of labour to opt to regulate the Labour
broking industry as opposed to the complete ban has been received with mixed
reaction from Unions, political organisations and society as a whole. It’s
been proven on a preponderance of probabilities that the usage of labour
brokers has been detrimental to the working class; the only beneficiaries of
such a practise has been the labour brokers themselves as well as the
companies that choose to utilise this mechanism for employment.  The
Minister of labour was quoted in a statement issued by the Department of
labour on the 5th of August 2009 saying “labour broking is a form of human
trafficking (not necessarily in itself an act of human trafficking)” saying
the practice was selling the labour of workers to the highest bidder. He
continued to say that “It is an extreme form of free market capitalism which
reduces workers to commodities that can be traded for profit as if they were
meat or vegetables”. Clearly this is an indication that the Minister has
justifiable grounds to declare the practise illegal and exploitative in its
very nature.

We should deviate from being narrow-minded about the implications of the
usage of labour brokers; the impact is not only within the context of
Labour, their impacts further manifest themselves within the socio –economic
framework of most workers. Firstly labour broking has intensified
exploitation by companies because the full wage that the worker is entitled
to is reduced as a result of this intermediary broker. Secondly, it
minimises the workers ability to be economically active due to certain
restrictions that are the default consequences of being under the
administration of a labour broker. Financial institutions for example have
certain requirements in place, which in turn become obstacles for those that
are not permanently employed by companies e.g. one cannot apply for any
long-term debt with a financial institution regardless of how long they have
been employed. It also promotes perpetual casualisation of employees and
that simply means that permanency is not necessarily based on merit but it
is at the discretion of the employer when they see it fit; that on its own
is an infringement of one’s’ rights as you might end up spending years being
considered a casual employee and eventually finding yourself unemployed
without being given prior notice as rights enjoyed by those who are
permanent are not necessarily available to those that are under labour
brokers.

*Monopolising the labour market*

There seems to be a high trend of collusion in South Africa and the labour
brokerage industry has not been vindicated from the unscrupulous practise.
The tendency observed amongst employers and labour brokers is that most
posts that have been advertised on media always have a reference made to a
labour broker firm or recruitment agency; should one attempt contacting the
organisation directly, you are referred to the labour broker direct. This
now means that the working class will be subjected to the mercy of labour
brokers in order to be seen as competent. The tests utilised by labour
brokers in some instances, to assess merit and skills competencies are
disadvantageous to those with no access to technology. The fact that some
people need to register their Resumes online already ostracises the poor and
the working class in our society. The fact that you need to first via the
route of being interviewed by the labour broker prior to the employer is an
unnecessary barrier for those that have limited resources to move around
logistically.     **

*Labour brokers: pro-employer and anti-trade unionism.*

 Labour brokers are anti-union because they constantly move workers around
from one place to another often with no access to union officials; with no p
ossibility of stop order deduction for union subscriptions. The usage of
labour brokerage has frustrated the process of organising employees to form
unions within sectors that are labour broker oriented. This has resulted in
unfair dismissals and workers accepting conditions of employment that are
unbearable as a result of fear instilled by those that hold the power to
“hire and fire” without consultation; this is another attribute to why the
private sector is advocating the retaining of labour brokers. It’s easier to
delegate labour dispute matters to labour brokers to deal with as opposed to
the matter being dealt with by the Human resource structures or employee
representative structures. This compromises the process of dealing with
grievances raised by the worker as there is never a proper and objective
process in order to deal with the matter at hand. It would be a complete
betrayal to the working class should the Minister agree to allow such a
perverse practise to continue. As mentioned above, this is a “modern slave
trade” practise as the ideological connotation and underlying fundamental
principle utilised today is the same as that utilised in the past where men
of colour and plebeians were seen as commodities of trade.

Labour brokers have profited immensely since the boom of the call-centre
industry and retail industry (lest we forget that the majority of young
people are working within call-centers). This does not promote progression
as the ceiling is very low for those in that industry. People employed
within these sectors by labour brokers have found it exhausting and futile
to take up matters with the conciliation and mediation institutions because
they are always referred back to their labour brokers who have no interest
in worker disputes. It’s imperative that this matter is addressed
holistically because it seems now that the Minister has the private sectors’
interests as well as those that are the profiteers of the practise and
suppressing the casualties of this practise in the process. This has also
exposed that companies blatantly refuse to increase wages; if they can pay
labour brokers why can’t they increase wages? There is no logic in having a
human resource department whereby 60% of the work is outsourced to labour
brokers and people that administer payrolls, but yet there is an employed HR
manager that still gets a full-scale market related salary. Clearly this
indicates that there is a huge resistance by the private sector to pay
workers decent wages, they would rather enrich other capitalists just like
them and continue to frustrate workers.

The newly founded marriage of convenience between the COPE and the DA on the
issue of Labour brokers has to a certain extent exposed COPE’s morality
vacuum and its non-existent interest in advancing issues of the poor and the
working class. Self regulation is already taking place tacitly within this
industry as Labour brokers do not account to structures of government.
Having a regulatory board simply monopolises the sector even further. The
“newly-weds” suggested that those that would control the board would be key
players in the sector; however the very same key players are the ones that
have been named by the Department as unscrupulous!  These two narrow minded
organisations want to justify their simplistic argument by using The Estate
Agency Affairs board an example, which is completely obscure as a model as
the board does not with workers but simply intermediary agents. Having a
board simply assists the Labour brokers in ensuring that their interests are
well secured. This marriage of no substance needs to understand that the
issue is LABOUR BROKERS themselves; they are not job creators, they are the
agents of red tape for the prospect employee and the modem of convenience
for the employer. These organisations have affirmed that they represent
those that seek to undermine the struggle of the poor and the working class
and advance the agenda of capitalism.

The call to ban Labour brokers must be heard and championed.

 *Gugu Ndima *
076 786 1516
[email protected]

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