Labour Court. FILE
A company which was taken to task for paying its workers in terms of the “piece work” system - where they were paid according to how much work they completed - tried in vain to have an order suspended in which they were forced to pay these workers the legal wage.
In one instance, a female worker, who had worked an entire month, only took home R500 as a salary. Most of these women workers are the sole breadwinners.
Crown Household, a Germiston-based company that manufactures and packages wire pot scourers, was earlier told by the CCMA that its “piece work” system was unlawful.
The CCMA ordered the employer to pay the workers the money that they were owed in terms of the national minimum wage.
The payment of the wages had to be backdated from January 2022 till September 2023. The award also stated that the employer must pay workers a minimum hourly rate, applicable at the time when their dispute came before the CCMA, of R25.42 as from October 2023.
Each employee is to be paid R3743.88 for each month of 2022 and R4305.84 for each month of 2023.
Instead of complying with the award, Crown Household launched an urgent application to suspend the implementation of the CCMA award.
The labour court last week dismissed the matter and said the application was “frivolous”. Lawyers for Human Rights (LHR) represented the employees.
The labour court ruled that the application was not urgent and slapped the employer with a costs order.
The “piece work” system used by the employer meant that the workers were paid according to how much work they completed.
The system was designed in a manner to skirt the legally required practice of paying workers the national minimum wage.
Faced with this gross exploitation, the workers approached the Casual Workers Advice Office (CWAO) and LHR for assistance. CWAO and LHR worked with the workers to bring a case to the CCMA.
The attorney representing the workers, David Dickinson of LHR, said: “The case illustrates the unfortunate practice by many companies to manipulate the law in order to avoid their legal responsibilities to pay the national minimum wage.”
He added that not only is this denying workers their basic rights, but it is also abusing the important role of the courts.
“The dismissal of the case powerfully illustrates that this malpractice is unacceptable in South Africa today.”
Kayan Leung of LHR said it is repugnant for employers to abuse a system and exploit working-class women who work difficult hours simply with the aim to provide for their families.
CWAO earlier explained that from 2021, the workers at this company were paid far below the minimum wage of R25.42 per hour and only paid according to the amount of wire pot scourers that they twisted and packed in boxes.
Each big box earned a worker R45 and a small box earned a worker R25. On many days, a worker would make only R45 the whole day (nine working hours) because they were also made to do other work that paid them nothing, CWAO said.
Cape Times
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