Human Capital Management

National Municipal Managers Meeting

28 FEBRUARY 2011

Coverage

• Job Evaluation and related dispute• High Impact Disputes – SALA PF, Sec 57

FTC• Councilor Induction 2011• Menu for 2011 –forward

– Wage and Sal– Revision of Main Collective Agreement– C B and HR

JOB EVALUATION

• Wage Curve Collective Agreement, April 2010– Dispute on what agreed– Matter in Labour Court

THE OLD JE AGREEMENT

Key features Expectations What obtained Lessons learnt

Period: 1 September 2002 – 30 June 2005

Job Evaluation of all 283 municipalities be finalised in 2004.

The collective agreement had to be extended on several occasions and eventually terminated on 30 November 2009

Only 135 municipalities had FOR’s published, due to non cooperation from Unions and non functionality of PJEC’s in several provinces

PJEC’s with the GS to oversee

PJEC’s will be effective to finalise job evaluations within relatively short space of time

With the exception of EC, KZN, Western Cape and Gauteng, several PJEC were not functioning and were disestablished

Various PJEC’s not functional. Job descriptions were of poor quality and trade unions used quorum requirements as bargaining tool thus rendering speedy processing difficult.

Continued...

Establishment of Audit Committee

The audit committee were adequate to do auditing

Auditing went slowly.

No timeframes were laid down. Audit Committee members were not released on full time basis and not enough members to do auditing

National Moderation Commission (NMC)

The NMC to fulfil overseeing role and to be effective to address problems

The NMC attempted to address problem areas but not effectively.

The NMC role in the process was redundant and an unnecessary step to do publications

Appeals Appeals will be limited due to the full participation of unions

Due to the vagueness of basis for appeals, several appeals were lodged and unattended to

No clear set of rules on the types of appeals opened the process to be exploited which could lead to unnecessary and prolonged disputes

Wage Curve implementation to be 1 January 2004

Wage Curve to be finalised in 2004

Wage Curve only concluded in 2010 and only implemented to 135 Municipalities with about 148 benchmarked but to published due to reticence from the Unions

No publication of outstanding TASK Grades an albatross. 100 municipalities were benchmarked but unions refused publication and about 48 could not be verified even.

The involvement of trade unions generally from the signing of Job Descriptions up to publications

Joint decision making will ensure fairness and effectiveness due to buy-in from all parties

Trade unions frustrated process and abused their powers to drive own agendas

Employers/ management prerogative was seriously compromised and JE process could not move with speed

Benchmarking was introduced to fast track process by adopting JD’s and job grades

Process will be fast tracked and publications of all municipalities will be done by or before July 2010

Despite several efforts and SALGA serious attempts, trade unions refused publications of Benchmarking results hence 148 outstanding

Benchmarking effective to address several identified problem areas. Unions reneged there from and caused present state

Continued...

PROVINCIAL STATUS OF JE

PROVINCE PUBLISHED FOR’s BENCHMARKED AND READY FOR PUBLICATIONS

PENDING*

Eastern Cape 37 5 4

Free State 9 10 6

Gauteng 2 10 3

Kwa - zulu Natal 39 11 8

Limpopo 1 17 8

Mpumalanga 11 11 4

Northern Cape 9 22 1

North West 0 12 12

Western Cape 27 2 1

Total 135 100 47

•MUNICIPALITIES THAT DID NOT COOPERATE (12)•Municipalities awaiting verification and auditing (33)

EC FS GP KZN LIM MP NC NW WC

PUBLISHED FOR'S

37 9 2 39 1 11 9 0 27

BENCH MARKED 5 10 10 11 17 11 22 12 2

PENDING 4 6 3 8 8 4 1 12 1

2.5

12.5

22.5

32.5

42.5

PROVINCIAL STATUS OF JE

NO

. O

F M

UN

ICIP

AL

ITIE

S P

ER

PR

OV

-IN

CE

PROVINCIAL STATUS OF JE

SOLUTION

• In view of the above:– At the SALGA HR Conference of September 2010 it

was resolved that JE be concluded by the employer alone.

– Municipal Managers to take responsibility in line with the Systems Act

Sensibility of entering into new Agreement

• SALGA obtained a legal opinion on whether it is obliged to negotiate on JE, in view of the HR Conference Resolution

• Legal opinion to effect that SALGA is obliged to negotiate but no obligation to agree.

• As a consideration it appears that SALGA will not be in a position to unilaterally publish TASK results as the Wage Curve Collective Agreement stipulates in terms of Clause 4.1.3 that “ employees to receive new wage rates as a result of their jobs being evaluated, as per the TASK Job Evaluation System and published by the SALGBC”

• However in the face of the trade unions’ currently disputing the validity of the wage curve collective agreement this obstacle may fall away.

SALGA EFFORTS TOWARDS UNIFORMITY

• Taking the tone of the HR Conference resolutions, SALGA geared itself to provide municipalities with the necessary tools to ensure uniformity in terms of Job Evaluation

• A Task Team consisting of SALGA and municipal officials as TASK experts drafted a Job Evaluation Guideline policy document.

• This policy was communicated to all municipalities for inputs that was further incorporated in the document and is ready for implementation

HRM Working Group 3 December 2010

• Given the obligation to negotiate per the advice from Counsel: – HRMWG resolved that SALGA explore

negotiations with trade unions to seek possible areas of agreement and use that to obtain a proper mandate from municipalities.

– If no agreement is possible, the duty to negotiate will have been met and Conference resolution can then be implemented.

EXPLORATORY TALKS

• Summary of deliberations on 14 December 2010 BC:

SALGA TABLED VIEW UNIONS’ VIEW OUTCOME SALGA ‘s PROPOSED WAY OUT

JE to be done predominantly through benchmarking to finalise 1st phase and JE be done in Maintenance phase for new and changed jobs

Unions in agreement

Consensus n/a

Job Descriptions adopted or written by municipality and provided to incumbent employee. JD disputes be dealt with internally with MM to have final decision or reliance be on LRA dispute resolution, if applicable

Want LLF or trade union involvement with job description but insist on SALGBC dispute resolution mechanism

Sticky point SALGA to stick to its position

JEU’s established in all metropolitans and as per regions identified to do Benchmarking and Job Evaluation

Trade unions generally agreeable with some discomfort on the areas of established JEU

General consensus and not really sticky issue

N/A

Quorum of JEU. 1 member per party if not JE Coordinator schedule another date within 2 days and JE continue with those present

Trade unions accepted principle at National Audit Committee (NAC) level, SALGA adopted principle for JEU as well.

consensus N/A

NAC extended with sub committees. 6 weeks timeframe to publish results with no NMC

Unions in agreement but raised concern on six week period

General consensus

N/A

Appeals be limited and prescribed. NAC to handle disputes if no consensus JE expert to deal with dispute

Agreeable but wants disputes to be referred for arbitration

Sticky point SALGA to stick to its position

Continued...

SALGA propose implementation of results for FOR to be 1 July 2010 as per the wage curve agreement and implementation for new or changed jobs to be the month following the month of publication

Trade unions not in agreement with newly and changed jobs.

Not a Sticky point

N/a

SALGA wants implementation only to be effected on employees on payroll

Trade Unions want transitional arrangements that cater for inclusion of retired, deceased and medically retired employees

Sticky point SALGA to stick to its position

Continued...

TIMELINE COMPARISON BETWEEN PREVIOUS AGREEMENT AND SALGA PROPOSAL

OLD Provisions NEW Proposal BENEFITS

Job descriptions have to be signed off by supervisor and incumbent, as well as trade union (LLF)

Job Description signed off by Supervisor incumbent and MM. Disputes about JD’s handled by MM expeditiously within15 days

Job descriptions from completion can be sent to JEU and not dependant on the signing off by union reps or LLF

PJECs as additional structure

JEU finalise POR and refer directly to NAC for auditing and publication within 6 weeks or JEU deemed published

Compressed structure will lead to expeditious final results

NAC to do auditing and NMC to publish results. No timeframe set

NAC do auditing and publication of results within 6 weeks, failure to do so JEU results deemed to be FOR

Final outcome results will be much quicker with a time frame.

Employees has a right to appeal outcome with no clear direction by an appeals committee

Appeals limited and to be dealt with by NAC and if no consensus referral to TASK expert

Appeals will be dealt with effectively and appeals will be limited, however implement until announcement on appeal

PROCESS TO CLOSURE

• Final offer tabled at NEC to get approval of principles and to give delegation to HRMWG for closure.

• SALGA to engage municipalities before end of February 2011 to obtain a mandate

• Final offer tabled at Bargaining Committee• Trade unions to accept or reject offer• In case unions reject:• SALGA to give notice to trade unions and implement

unilaterally

MGCBS

EFFECT OF APPROACH TOWARDS MUTUAL GAIN COLLECTIVE BARGAININGSTRATEGY (MGCBS)

• SALGA showed commitment towards joint decision making in accommodating the unions in the JEU’s as well as NAC structures in line with MGCBS.

• All parties in favour of expeditious process• Common ground reached on most matters • Uncertainty and suspicion that SAMWU position be that

of individual rather than organisation- thus compromise MGCBS

• At plant level both unions eager to see conclusion and agreeable on same basis as per SALGA proposals.

POINTS FOR DECISSION

SALGA TABLED VIEW UNIONS’ VIEW OUTCOME SALGA ‘s PROPOSED WAY OUT

Job Descriptions adopted or written by municipality and provided to incumbent employee. JD disputes be dealt with internally with MM to have final decision or reliance be on LRA dispute resolution, if applicable

Want LLF or trade union involvement with job description but insist on SALGBC dispute resolution mechanism

Sticky point SALGA to stick to its position

Appeals be limited and prescribed. NAC to handle disputes if no consensus JE expert to deal with dispute

Agreeable but wants disputes to be referred for arbitration

Sticky point SALGA to stick to its position

Continued…

SALGA TABLED VIEW

UNIONS’ VIEW OUTCOME SALGA ‘s PROPOSED WAY OUT

SALGA wants implementation only to be effected on employees on payroll

Trade Unions want transitional arrangements that cater for inclusion of retired, deceased and medically retired employees

Sticky Point SALGA to stick to its position

INDUCTION

RESPONSIBILITIES

NATIONAL

• Project Management

• Courseware

• Mat distribution

• Support and Mentoring

• PR• TT

T• Pay

ments

• Reports

PROVIN

CIAL

• Communication to Munics

• Venues

• Mat distribution to Munics

• Implementation

• All logistical arrangements

• Reports to N/O

MU

NICI

PALITI

ES

• Transport of Cllrs to venue

• Accommodation for Cllrs

• S&T allowances

• Meals for delegates??

T HANK YOU!!!!“ Working towards ensuring effective

functioning of municipalities”.