Free State “Pay Back the Money” Campaign

Private security sector unions, unapologetic and unwavering, steam ahead after fraudulent deductions of millions of rands from the salaries of poorly paid security officers. AWU, KAWU, NUMSA, and SATAWU will be joined by other progressive labour unions in the Free...

PSSLANC

Private security sector unions, unapologetic and unwavering, steam ahead after fraudulent deductions of millions of rands from the salaries of poorly paid security officers.

PSSLANC Blog

Free State “Pay Back the Money” Campaign

Private security sector unions, unapologetic and unwavering, steam ahead after fraudulent deductions of millions of rands from the salaries of poorly paid security officers. AWU, KAWU, NUMSA, and SATAWU will be joined by other progressive labour unions in the Free...

read more
PSSLANC

PSSLANC

Private security sector unions, unapologetic and unwavering, steam ahead after fraudulent deductions of millions of rands from the salaries of poorly paid security officers.

read more

ARTICLES

Unions take ‘pay-back-the-money’ campaign to Northern Cape

Private sector security unions took their campaign to force companies to adhere to a Main Collective Agreement over health benefits for workers to Kimberley in the Northern Cape this week.

On Wednesday members of the National Union of Metalworkers of South Africa (NUMSA), the South African Transport and Allied Workers Union (SATAWU), the Abanqobi Workers Union (AWU), and the Kungwini Amalgamated Workers Union (KAWU) marched in unison to protest the ongoing theft of millions of rands from the salaries of lowly paid security officers.

According to the Main Collective Agreement (MCA) of the National Bargaining Council for the Private Security Sector signed in March 2021 companies are supposed to pay contributions towards a health benefits plan to Affinity Health.

However security companies which also do business with government, have come under fire for failing to offer medical benefits despite deducting millions from employees’ salaries (NBCPSS).

“We have issues that affect our members. We are informed by our members who are your employees, that you do not comply with the MCA, and we call upon you to address this. We are told that you collect money from the salaries of the employees but do not pay it over to the relevant institution,” Frederick Mabasa, NUMSA National Security Coordinator said while handing over a memorandum of grievances and demands to Dries Oelofse, regional manager at Defensor Electronic Security.

“This is not an issue within my jurisdiction to solve, but I will send it and delegate it to the right people so that it can be discussed and feedback can be given to you,” said Oelofse in response.

Numsa’s Frederick Mabasa delivering a memorandum of grievances to Dries Oelofse, regional manager at Defensor Electronic Security in Kimberley. Photo: Koena Mashale

The unions have identified top offenders in the Northern Cape when it comes to denying the poorly paid security officers the healthcare benefits as Zaks Security, Bafazi Security and Sinqobile Equestrian Security Service.

They accuse the trio of failing to relay healthcare insurance subscription to the healthcare service provider, Affinity Health, in accordance with the MCA. In this way, these non-compliant businesses deny employees health insurance by keeping the money that should be transferred to the service provider as profits and bonuses for opportunistic senior managers and bosses.

“We are also doing this because both the bargaining council and the department of labour lack the capacity to enforce our current agreement, so through this mobilisation, we think that, those in authority will soon respond to our demands,” said Andile Zethu, NUMSA’s regional secretary in the Free State and Northern Cape.

Zethu added that if the demands are not met there would be endless rolling mass action and that the unions would also employ other means to make sure that the complaints of the workers receive attention.

“They need to pay us more, we are struggling, and they don’t seem to take us seriously. We work for them every day, and when we ask for these simple things, they tell us that they are discussing it or that they will address it, but they never do. They just use us but can’t even take care of us, or give us the basics that we need to continue doing the job,” said a worker who did not want to be named.

The NBCPSS approved a health insurance benefits scheme in March 2021, but employers in the Private Security Sector have been accused of docking pay, not following through on provident fund benefits, and failing to provide minimum wage and overtime pay when due. The MCA requires employers to register workers with the Private Security Sector Provident Fund and for health insurance with the designated health insurance service provider.

It also requires that the employers pay workers no less than the agreed minimum wage, and pay overtime, national key points allowance and night shift Allowance when due.

According to the Labour Relations Act of 1995, to which these security firms are subject to, the Main Collective Agreement (MCA) of the Bargaining Council is enforceable against all employers and employees in the private security sector.

In their memorandum of demands handed over to Zaks Security the unions demanded among other things that the company pay back all the money it was supposed to deduct from their security officers for healthcare benefits and a provident fund.

They also demanded that the companies register security officers for health insurance and with Affinity Health to ensure workers receive their healthcare benefits as per the MCA.

The unions are also demanding that all security officers be registered with the Private Security Sector Provident Fund to protect their lives and their families from loss of income.

In the memo the unions also demanded that Zaks Security must give notice to the government to terminate their contracts and no longer bid on government tenders until they comply with the Main Collective Agreement and the Republic’s laws.

The unions are appealing to law enforcement agencies such as the Hawks to investigate and arrest the directors of Zaks Security and that the FCSA, PSIRA, and CMS must continue to investigate these companies and bring them to justice. – koena@mukurukuru.co.za

 

BY KOENA MASHALE ON 23/04/2023

Unions angry about ‘noncomplying’ security companies

Numsa urges Mpumalanga treasury to stop dealing with firms not complying with bargaining council requirements.

The National Union of Metalworkers of SA (Numsa) has called on the Mpumalanga provincial treasury to stop doing business with security firms that fail to comply with requirements of the national bargaining council for the private security sector.

The call by Numsa, SA’s largest trade union, comes after it and members of unions such as the Abanqobi Workers Union, Kungwini Amalgamated Workers Union and the SA Transport and Allied Workers Union, marched to the Mpumalanga provincial treasury on Thursday “to demand that they stop doing business with security companies which are noncompliant”, said Numsa general secretary Irvin Jim…

By LUYOLO MKENTANE |  published in Business Day on 06 AUGUST 2023

South African workers march to defend healthcare benefits

National Union of Metalworkers of South Africa (NUMSA) members marched to the offices of Private Security Industry Regulatory Authority (PSIRA) in Bloemfontein on Monday, to demand that the regulator stops bosses from defrauding security workers out of their medical insurance benefits.

 

There are some employers who, under the false pretence of providing workers with medical insurance benefits covered by Affinity Health, deduct money from them – but do not pay it over to the service provider.
Affinity Health is the only service provider of medical insurance in the security sector and this was achieved through the Main Collective Agreement (MCA) which was signed at the National Bargaining Council for the Private Security Sector (NBCPSS).
For example, Mabotwane Security denies their security officers the healthcare benefits that they fought so hard for in terms of the MCA. Mabotwane Security should have been paying over R250 to Affinity Health, the designated service provider, to cover the primary healthcare needs of their over 900 security officers.
But Mabotwane Security has not been doing so, and it now owes workers over R3.6 million worth of healthcare cover, in the last 16 months.
This means that some security guards are paying for cover, but they are not receiving any benefits for it.
This leaves them vulnerable and exposes them because they are unable to get the medical insurance benefit when they need it.
‘To deduct money and not pay it over to the service provider is fraud!’ says NUMSA
Mabotwane Security has not registered their security officers with the Private Security Sector Provident Fund even though they are deducting money for the ‘provident fund’.
This will adversely affect security officers when they retire, or their contracts are terminated – which is a common occurrence in this sector.
Some of the companies listed below have government contracts in different municipalities around the country, but officials do nothing to ensure compliance with the (signed) collective agreement.
Since February this year NUMSA, working with other unions like Abanqobi Workers Union (AWU), Kungwini Amalgamated Workers Union (KAWU), and the South African Transport and Allied Workers Union (SATAWU) launched the ‘Pay Back the Money’ campaign.
This was followed up with pickets in Johannesburg, Pretoria and Kimberly. Some of the previously non-compliant companies have since begun complying including: Zeks Security, Easy Security, Rishebile Security, Tykes Security, A Force Security, Cedas Senforce, Nisi Security, Siqobile Security, and Fidelity Security.
‘We will not stop with the naming and shaming campaign. It is important for unions to fight for these benefits and to ensure that workers are protected,’ said NUMSA.
‘NUMSA has given PSIRA (the regulatory authority) seven days to respond to our demands. We are calling on them to take decisive action against employers who defraud workers.
‘Criminal charges must be laid and employers who do not comply must be blacklisted and prevented from operating.’
Meanwhile, in parts of Gauteng province, South Africa, bus drivers from the Northwest Transport Investment company are on strike because they haven’t been paid for four months.
Last Wednesday, the City of Tshwane suspended all bus operations following a strike by workers affiliated with the South African Municipal Workers Union (SAMWU).
The drivers walked out last Tuesday afternoon.
They didn’t show up for work on Wednesday morning either, despite a 48-hour ultimatum that was issued by the city to the workers.
Workers and the entire country have a lot riding on the Medium-Term Budget Policy Statement (MTBPS) to be tabled by Finance Minister, Enoch Godongwana, at Parliament today, 1st November, said the Congress of South African Trade Unions (COSATU) on Monday.
Its statement said: ‘Our nation is facing a myriad of very difficult challenges, ranging from tepid economic growth, a 42.1% unemployment rate, a youth unemployment rate of 60%, endemic crime and corruption, a painful period of loadshedding, cable theft crippling our passenger and freight railway network, dysfunctional municipalities, and ingrained poverty and inequality.
‘All of these feed into a sense of despair.
‘The Congress of South African Trade Unions (COSATU) has been dismayed by the National Treasury’s decades long addiction to a variety of economic and fiscal policies that have not succeeded by any yard stick.
‘We should not be surprised when these policies continue to fail to yield results.
‘In 2020, the Treasury imposed an ill-conceived wage freeze on public servants. Subsequently, below inflation increases have been effected for public servants.
‘Yet the fiscus and the economy remain in a crisis precisely because the real obstacles to growing the economy have not been addressed, e.g. ensuring affordable electricity, reliable rail and efficient ports.
‘We have been astounded by reckless attempts to impose misguided austerity budget cuts across government in the run-up to the MTBPS, including freezing vacancies and infrastructure investment programmes.
‘Whilst we appreciate the fiscal constraints facing the state and the need to cut fat and reprioritise expenditure, the solutions offered by the Treasury of bluntly slashing expenditure and further decapacitating the state in an economy in desperate need of stimulus and well-oiled and capacitated public services, will only choke the economy and further weaken an already enfeebled government and undermine its ability to provide quality public and municipal services.
‘What is needed is to grow the economy. That is the only sober and sustainable path to pay down our worrying debt trajectory.
‘The Treasury’s narrow fixation on cutting the wage bill is a lazy option that will not resolve the multiplicity of crises the country is facing. Underpaying a nurse will not get the trains to run on time.
‘What it will do is to fuel the brain drain of skilled public servants to better paying and less stressful jobs overseas.
‘We should not fall for the reckless narrative that says the public service is bloated.  In 1994 we had 1 million public servants for 34 million South Africans.
‘Today we have 1.2 million public servants, yet the population has nearly doubled to 62 million.
‘The crisis we are facing is not an expenditure crisis.  The wage bill has been stable at 35% of the budget for more than a decade. The crisis is a collapse in company tax.
‘This is because of the rapid deterioration in the capacity of Transnet to transport mining, manufacturing and agricultural products to their markets on time.
‘The mining industry is a major contributor to the state through company taxes and an earner of investment and foreign exchange for the economy.
‘If government does not turn things around at Transnet fast, we will face a jobs bloodbath in the mining industry and a crisis of revenue that no amount of pickpocketing public servants will fix.
‘If we are to grow the economy and reduce unemployment, and thus increase the revenue the state needs to reduce debt, then government needs to deal with the real obstacles suffocating the economy, workers and businesses, namely:
‘

  • Provide additional support to Eskom to end loadshedding and ensure reliable and affordable electricity;‘
  • Urgently intervene at Transnet and Metro Rail to secure and rebuild our freight and passenger railway network and modernise our ports. Transnet has to be the state’s number one priority;‘
  • Stabilise and overhaul dysfunctional municipalities and restore basic services;‘
  • Allocate additional resources to the South African Revenue Service to tackle tax and customs evasion, conduct lifestyle audits of the wealthy, and generate badly needed state revenue;‘
  • Fill critical frontline vacancies in the public service, especially the Police, National Prosecuting Authority and Courts, enabling them to crack down on crime and corruption;‘
  • Give relief to commuters and the economy by reducing the taxes consuming 28% of the fuel price and place the chaotic Road Accident Fund under administration to lessen its need for fuel levy hikes;
  • Expand the Presidential Employment Programme to accommodate one million active participants in the MTBPS and two million by February’s Budget to help young people earn a salary, gain experience and enter the labour market;‘
  • Enhance the invaluable Social Relief of Distress Grant to recover value lost to inflationary erosion by raising it to the Food Poverty Line and link its recipients to skills and job opportunities;
  • Expedite and not freeze badly needed infrastructure investments;
  • Ensure the two pot pension reforms are implemented in 2024 and increase the immediate access of up to R50 000 for financially struggling workers, providing relief for millions and injecting badly needed stimulus into the economy.

‘If government can show the necessary fortitude and vision and implement these common-sense interventions, the economy can meet the 4% growth target.
‘This will set the nation on the path to a prosperous job creating economy, a capacitated developmental state and ensure the fiscus is set back on a secure path.
‘Cutting medication to a patient in the ICU at hospital will achieve little besides killing the patient.
‘Workers can no longer afford to live on hope and prayers, whilst the Treasury experiments with failed economic theories that have been rejected across the world.
‘COSATU will continue engaging the leadership of government to seek a more pragmatic and sustainable path to rebuilding the state, growing the economy and creating jobs.’

South African workers march to defend healthcare benefits

1st November 2023

High Court orders SABC’s 2017 security contract be set aside

 

The High Court in Johannesburg has ordered that the decision by the SABC to award a contract worth R185-million to Mafoko Security in 2017, be set aside.Mjayeli Security, who also competed for the tender, brought an application to review the awarding of the contract that they deemed to be irregular.This comes after The Special Investigations Unit (SIU) issued a damning report about the security tender at the public broadcaster in 2019.The report found evidence of irregularities in the interim board’s awarding of a security contract to Mafoko Security.On 6 July 2018, President Cyril Ramaphosa appointed the SIU to investigate the procurement of goods, works and services by the SABC from Mafoko Security Patrols.As a result, the SIU report revealed that Mafoko Security won the tender even though it was ranked second during the bidding process. The SIU previously said, the interim board overruled its own supply chain processes and failed to act in the best interest of the SABC.

Now the High Court has ordered that the SABC obtain an independent audit verification.

The court will thereafter determine the amount of profits that Mafoko should pay back to the SABC and the SIU)

 

https://www.sabcnews.com/sabcnews/883811-2/

 

Cosatu targets ‘criminal’ private security companies

Members of unions organising in the private security sector marched on the offices of the Maluti Security company in Bethlehem on Tuesday 04 July 2023 to present a memorandum of grievances over unpaid healthcare benefits. Photo: Lucas Ledwaba/Mukurukuru Media

TRADE union federation Cosatu has thrown its weights behind a campaign to take on private security companies which are not complying with an agreement to pay towards workers’ healthcare benefits.

Private sector security companies have been accused by unions of deducting monies amounting to over R50 million monies from over 30 000 workers but failed to pay the funds to a company appointed to administer the healthcare benefits programme.

The matter has been investigated by the Council for Medical Schemes and the Financial Sector Conduct Authority. But Cosatu has revealed it will now be adding its weight to the campaign by unions to hold companies to account. Cosatu is the biggest trade union federation and its involvement in the campaign is seen as a major boost to unions involved in the campaign.

“We are preparing a national march for all the security companies in South Africa. Many of the security companies in South Africa are not complying with all basic laws that they are supposed to do,” Cosatu general secretary Solly Phetoe said after a march on Maluti Security in Bethlehem, Free State this week.

Cosatu secretary general Solly Phetoe said the union will be taking to the streets and engaging government ministers over the failure by security companies to adhere to labour relations and collective agreement regulations. Photo: Lucas Ledwaba/Mukurukuru Media

Unions organising in the private security sector marched on Maluti Security on Tuesday to deliver a memorandum of grievances against its alleged failure to comply with the Main Collective Agreement.

Unions Abanqobi Workers Union (AWU), Kungwini Amalgamated Workers Union (KAWU), National Union of Metal Workers of SA (NUMSA) and the SA Transport and Allied Workers Union (SATAWU) have been actively involved in a ‘payback campaign’ against non-compliant security companies since January.

“Like I said here the security company (Maluti Security) is not registered with PSIRA (Private Security Industry Regulatory Authority). The laws said they must be registered with PSIRA,” said Phetoe.

“Security workers must be trained, these issues include non-payment of salaries of workers properly according to the law, issues of benefits, issues of deducting monies of workers and you don’t pay it to where it’s supposed to pay it, to the third party- it’s unlawful, it’s criminal,” Phetoe said.

According to PSIRA there were 586,042 registered active security officers as at the end of March last year and 11,540 active registered private security businesses.

The payment of healthcare benefits to security guards stems from a March 2021 National Bargaining Council for the Private Security Sector (NBCPSS) collective bargaining agreement with employers and unions.

The NBCPSS is registered in terms of the Labour Relations Act and cites its primary aim and purpose as “to regulate, maintain and enforce the terms and conditions as set out in the Main Collective Agreement. The agreement stipulated that the scheme was to be administered by Affinity Health and workers were to pay a compulsory R250 monthly insurance, half of which was deducted from salaries.

The benefits include chronic disease management and medication, doctor consultations, hospital and casualty benefits, including an HIV and TB management programme.

Members of unions organising in the private security sector marched on the offices of the Maluti Security company in Bethlehem on Tuesday 04 July 2023 to present a memorandum of grievances over unpaid healthcare benefits. Photo: Lucas Ledwaba/Mukurukuru Media

Unions organising in the sector said over 30 000 workers were impacted by a failure by companies to comply with the agreement and that some companies deducted monies from workers but failed to pay to the relevant structures such as UIF and medical aid schemes.

In January the unions launched a campaign calling for non-compliant companies to pay back monies they have been deducting irregularly from workers and for government institutions to investigate and prosecute directors of such companies.

“So COSATU is working with all the unions that are here. We are going to take up the matter and make sure that the Minister of Labour responds, but also take it through the legal process for investigation,” Phetoe said.

Phetoe said non-compliance has been plaguing the private security industry for a long time and was investigated after the violent security guard strikes in 2008 and 2010.

“There was a national day strike of the securities. Two months ago there was a national day of the security strike in Northern Cape. We have started these things, the reason is why because the security companies that are unregistered are increasing and many of the security companies are now established and led by African black people. These white people just use them are frontees,” Phetoe said.
He laid part of the blame for the non-compliance issues on PSIRA, saying it was not playing its part.

“We are going to talk to Minister of Police because PSIRA is under Minister of Police. We are going to talk to the Minister of Labour because labour laws of all workers are administered under the Department of Labour. So all of them we are going to put them together and say why have they left these issues?” he said.
Phetoe said government departments showed a willingness to act on the issues in meetings with the federation but never follow up with action.
“Well, in the meetings there’s willingness [but] when we are done with the meeting it is the opposite. We meet with them, we agree on things, what they do is the opposite,” he said.

In the memorandum to Maluti the unions called for the company to register workers with the UIF, registration with the Private Security Sector Provident Fund, registration for health insurance, payment of levies to the Bargaining Council and payment of a minimum wage and overtime work.

They also called for payment of allowances such as national key point allowance to all qualifying employees. The unions warned they will engage Maluti’s clients with the view of encouraging them to terminate their contracts if the company fails to adhere to the memorandum.

Francois Botes who represents Maluti Security pulls on his pipe while waiting to accept a memorandum from union members at the company’s offices in Bethlehem, Free State. Union members took offence against his smoking and threatened to open a case against him. Photo: Lucas Ledwaba/Mukurukuru Media

Maluti representative Francois Botes said the company will investigate the allegations made by the unions and respond to the memorandum. Botes highlighted that compliance with regulations should be done in such a manner that it would force companies to shed jobs. – Mukurukuru Media

Cosatu targets ‘criminal’ private security companies

BY LUCAS LEDWABA

8 July 2023

Unions demand company repay over R7.5 million allegedly siphoned from salaries

AUDIO & VIDEO

Terminate contracts of non-compliant security companies – demand AWU, KAWU, Numsa, Satawu and SANSAWF

by PSSLANC

Security officers call on government to terminate contracts of non-compliant security firms

by PSSLANC

Satawu MP Provincial Secretary delivering the MEMO to the Mpumalanga Legislature

by PSSLANC

Cosatu MP Provincial Secretary, Cde David Mokoena, addressing PSSLANC workers

by PSSLANC

FS Provincial Secretary Nomasonto Nxumalo asserts the PSSLANC Demands To Maluti Security

by PSSLANC

Cosatu FS Provincial Secretary Mahlatse Monyatso engaging PSSLANC

by PSSLANC

PSSLANC March against non-compliant Security Companies in Bethlehem

by PSSLANC

Satawu FS Provincial Secretary Mahlatse Monyatso engaging PSSLANC

by PSSLANC

Yilungelo Lakho | Security guards' payslip deductions problems: 04 June 2024

by PSSLANC

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