These salary guarantees include, in accordance with the agreement, payments from both unemployment insurance funds (UFU) and denkoters. The signatories to the apparel industry agreement are the Southern African Clothing – Textile Workers` Union, the Apparel Textile Association of South Africa and the South African Apparel Association. The agreement was developed by the National Bargaining Council for the Clothing Manufacturing Industry in South Africa. In addition, the Board of Collective Agreements of the Clothing Industry will be the institution on which UIF distribution payments to employees are based through the company`s wage settlement systems. The agreement focuses on several safeguards for workers in the sector. It is also a matter of reaffirming the conviction that all South Africans, their organizations and institutions, in this time of national crisis, will strengthen cooperation between themselves and the government. It also hopes to encourage stakeholders to “dig deep” to develop assistance programmes to address the problems associated with the Covid-19 threat. The National Clothing Industry Bargaining Council (“negotiation council”) has entered into a collective agreement between the relevant stakeholders (“agreement”). It was announced that the agreement, which has not yet been concluded, will guarantee the full remuneration of 80,000 workers during and after the national blockade for six weeks. Wages are paid by employer funds and unemployment insurance benefits (UFUs). The sector will recall that the parties to the National Bargaining Council entered into a two-year collective agreement in 2014. This circular therefore describes the overall increase in labour costs for 2015/2016, which is in line with the two-year contract concluded last year. The establishment of a rapid response team to the apparel industry will also be put in place to manage the practical immediate implementation issues arising from the conclusion of the agreement.
South Africa`s first national collective agreement for clothing and textiles has been accelerated and ratified until the end of March. The Bargaining Board indicated that the agreement was forwarded to the Ministry of Employment and Labour to extend it to non-parties within the industry. We will keep you informed of developments. Guarantees on the full payment of wages to 80,000 garment workers during the banning period are also a major concern highlighted in the agreement. This circular summarizes the outcome of the industrial negotiations. The parties to the National Bargaining Council have reached an agreement that will come into force from September 1, 2016 to August 31, 2018 and… You will recall that during last year`s industrial negotiations, the parties to the National Bargaining Council reached a two-year agreement that came into force on September 1, 2014 and would run until August 31, 2016. With regard to the total cost of labour, it was agreed… The Industrial Relations Act (LRA) provides for the creation of negotiating councils for each of the most important sectors in South Africa.