Thursday, 7 February 2013
ACDP says new minimum farm wages are a necessary compromise for all concerned
MEDIA RELEASE
5 February 2013
ACDP Member of Parliament, Cheryllyn Dudley said today that:
“The New Minimum Farm wages are a necessary compromise for all concerned.
“There will always be tension between the realities, needs and concerns of both farm-workers and farmers, necessitating an on-going process balancing complex issues and reducing tension.”
The new minimum wage for farm-workers is R105 a day, R36 more than the current minimum wage of R69 a day and is expected to come into effect from March 1.
Employees working nine hours a day, will receive a minimum of R11.66 per hour, R525 weekly, or R2274.82 per month.
The labour minister's announcement followed countrywide public hearings on a new minimum wage for the agriculture sector, following violent protests in parts of the Western Cape.
The ACDP recognises that the all important question has to be “How can we do things differently, more responsibly, more equitably, and yes, more democratically?”
An analysis by the Bureau for Food and Agricultural Policy concluded that even at what seemed to be an unaffordable minimum wage of R150 per day, most households could not provide the nutrition needed to make them food secure. At the same time it acknowledged that if the average wage of farm-workers increased to more than R104.98 a day, many farms would be unable to cover their operating expenses, and would not be able to pay back borrowings or to afford entrepreneurs' remuneration.
“while it is reasonable to expect that South Africa's agricultural sector will undergo a restructuring, with many farmers changing to less labour-intensive products, or mechanising in an effort to balance their books – it is also reasonable to expect that after a day’s work, a person should be able to feed themselves and their family. "
“Change is hard but so often leads to new practices, which, when driven by both ethical and practical considerations can improve the standard of living for more than just a privileged few.”
“Lack of trust is going to be a major challenge requiring a maturity all round that is a choice rather than a natural ability. Families are important and a strong agricultural sector is import to the well-being of all families in South Africa – we need each other and must find ways to work together and to prosper collectively.”
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A KZN Farmer & Constituent - In response to Press Release on Minimum Wages - wrote:
ReplyDeleteWhilst I agree that wages should go up the means that should drive them upwards is production
and not revolutionary violence. This I abhor to the extreme. To have a vision is one thing
and to work towards a goal, but to burn and pillage is just a disgrace.
How are our school leavers in general to step even onto the first rung of the ladder.
Come and live where I live and see the people without jobs. Come try and start an enterprise where the workers are ready to destroy it because they are jealous.
I am interested at what you say but I fear you are out of touch with reality.
A minimum wage automatically puts a cap on good hard working men and women and all are put into the same putu pot where they become a mob instead of a creative workforce.
My Response to his comments:
DeleteThanks for your response which is always appreciated! Apart from your first-hand experience as a farmer, I know you are a man of integrity and do not live a life luxury and excess which makes your input all the more credible.
I see we do at least agree that wages must go up - especially in view of findings that confirm that it is impossible to feed a family on the ideal minimum wage, let alone the present or even previous one which was less than half the amount. It would be great if wages did rise voluntarily but this is not always the case and when it comes to a minimum wage, it is easy to intimidate and take advantage of a desperate person. Not everyone stops to think about the impact on the individual, family or even community, as I know you do.
Something we are all aware of as history has repeated itself time and time again - revolutionary violence does happen - when people are squeezed beyond what they can tolerate. Of course, there are often those with their own agenda’s – political and other - driving and aggravating situations, which is unfortunate but people with something to lose are not so easily incited and enticed to commit acts which penalise themselves and their families. People on a liveable income with a hope and a future, do not easily join a mob but those who have become disillusioned with life and believe their circumstances have become intolerable for themselves and their families find an outlet for their anger and pain in joining the mob! People need at least a hope of getting out of their desperation or they have nothing to live for and become a danger to themselves and others.
The ACDP does not - and would never - condone violence, burning and destruction of people and property and it is tragic that often, without such headline-producing actions, peoples desperation is ‘swept under the carpet’ and clearly not prioritised. We are all experiencing the rise in prices of food and other necessities, how much more so people on extremely low salaries!
I would argue that a minimum wage does not automatically “put a cap on good hard working men and women” or that “all are put into the same putu pot” as you say. Good hard working men and women will hopefully be worth more than a minimum wage to their employer and if not - again hopefully - that employer will at least give them a recommendation that would result in a better paid job elsewhere – so much always depends on the employer! A minimum wage is just that - a minimum wage!
Agriculture, we know is important for food security and the economy in general and farmers, in order to stay productive, may or may not decide to mechanise. The lay-offs we see happening in the Western Cape already - were expected – I only hope they are a genuine effort on the part of these farmer/businessmen and women, to resuscitate their struggling businesses and not a reactionary response. Not because their frustrations are not understandable but because a reactionary response will help no-one! Agricultural endeavours that need subsidies to exist could, I imagine, in some instances be worth propping up but it might also be that if a business cannot pay a liveable wage to the people doing the work it is not viable and has failed.
It is true that entrepreneurs have often laboured in their own endeavours and received little or no salary to start with – those who argue that people should be allowed to work for as little as necessary miss this critical difference – yes if these people are working for themselves and a slice of future profits – they should be able to work for as little as possible.
The ACDP understands that the difficulties and frustrations are many on all sides of this sensitive issue and the cost to everyone in South Africa will be tragic if we don’t get it right! We must do everything possible to avert the otherwise inevitable revolutionary violence.
Comment thread from Facebook 'I Support the ACDP' site regarding the above Press Release:
ReplyDelete*CD - Cheryllyn Dudley
SH: Cheryllyn, did you speak to any farmers before writing that post?
Cheryllyn Dudley: Yes SH - we are always speaking on behalf of Farmers who we recognise as extremely important for the well-being of everyone in SA - they are also extremely hard-working and have to take huge risks relying on many circumstances out of their control. In this instance we are talking to the life threatening predicament of people working for less than what they can live on. These matters are very sensitive as all stakeholders are impacted where it hurts the most. As I said in my response to Guy these are very complex issues and we recognise the serious sacrifices all round.
SH: I doubt if your consultation base is very wide after reading your article, it sounds completely outside of reality. Every farmer's circumstances are different; such a broad statement is irresponsible and sounds politically motivated.
CD: What are you saying Sonia? Are you saying despite evidence to the contrary that people are in fact able to live on less than R105 per day for their labour? Have you spoken to any farm labourers in this predicament lately?
SH: I have spoken to both Cheryllyn, no R105 is not a liveable wage, but look at the bigger picture, would you say they are better off unemployed or the farm workers better off if the farmers are no longer able to produce. You have not taken into consideration the fact that farmers also give farm workers other benefits. I know of one farmer who just stopped subsidizing taxi fees. Those workers are no better off. There are much broader problems than just the R105, unemployment is a larger problem. There are workers very upset because the farmers drive luxury cars etc, farm workers who work ground level jobs all their lives and do not make an effort to improve their education. No recognition is given to the farmer who studied and had exceptionally high input costs and risk. Farmers are just made out as evil and selfish. If it was that easy running a farm, why did 90% of redistributed farms fail notwithstanding that millions of Rands were given to these affirmative action farmers to start them off.
By your post you are in fact also promoting communism and not a free market society. You are using cause to further your own political agenda under farm workers
discussion thread continued...
ReplyDeleteCD: We know it is not easy SH- what do you suggest?
SH: Decide what kind of country we want and work towards it, incorporating all role-players in the solution. Sacrifices should come from all role-players and they should share a common goal. We can not afford to entertain the communist and socialist mentality in the country. I will also suggest that we start making people across the board responsible for their actions and not entertain or reward their destructive behaviour
CD: It would be more helpful if you could be more specific with regard to this particular issue of minimum wages/salaries that are not liveable/and the need to ensure farmers have every chance of succeeding and being productive. The general principals we have no problem with - it is the implementation and the consequences we need to manage successfully.
SH: You cannot handle it in isolation, there are also social problems in play. Many farmers are also providing housing, food etc. Many of the people that were rioting were not even farm workers but rent a crowd from the ANC, many were also migratory farm-workers who were just there for harvesting, they are temps. You cannot treat them the same. Many farmers are just going to mechanize now to reduce costs. Jumping on this band wagon for political gain will not benefit you. I will however suggest that you tackle the social problems within these communities and promote sustainable communities who promote buy local campaigns. For instance, many of them can start their own gardens and sell at a farmers market, if one does not exist, why not start one? That should provide you with some political leverage. The problem is far bigger than mere wages, so the solution should also be far bigger.
Continued...
ReplyDeleteHM: My personal viewpoint, as I am a farmer, as well as a businessman. The moment you enforce a law like minimum wages, you will have reaction. In any ''free society'' it should be about a willing seller and willing buyer concept. Imagine the next move would be to buy property by government at a minimum price, not a willing seller, again re-actions will follow. I used to have 9 workers employed, but over a period of 5 years reduced it to 5 workers, mostly because of the minimum wage and workers demands that just grew, with little more responsibility and zeal to work. Many workers are prepared to work for less instead of NOTHING. I will and is paying some workers more than the minimum wages based on their skills/ability and responsibility. It is an agreement between us, not enforced labour with government dictating salaries. When a worker is not happy, he should find another job and if he is doing a good job, he will automatically be retained and paid well over the minimum wages. so logical to me. The minimum wage is surely contributing more unemployment in the farming communities and I feel sorry for so many losing jobs by the day. It is a vicious cycle, going just down and down. I tested my workers once, by asking them all to reduce their salaries by 10% and I would add 10% so we may give 2 other people jobs and guess what was the answer ''NO'' Meaning they do not care for the unemployed as well. The more the workers are referring to the labour law, the more the farmers are sticking to the law and withdraw all extra benefits that was never considered as part of the pay.
Just before I retire for a good nights sleep. Some workers would easily live with their minimum wage or even less and have money left to save. Others would never have enough, wasting it on liquor, cigarettes, and debt for things they cannot afford yet, paying interests and always trying to borrow more. So is the question the minimum wage or spending within your budget of earnings. I used to do that in the years 1971 when I was earning R50 a month. No luxuries like cellphones and internet, although I must admit it was not available in my young days. (UN)Fortunately the Government has a child grand and young unmarried woman from the age of about 13 years is going all out for that child grand every month. What an incentive that has missed its purpose and like Cheryllyn truly said, it is all about the implementation of laws that will make or break our society. Good night.
So the answer would be FREE society where demand and supply is the law. Willing worker and willing employer, an agreement to last or not to last. This would give a huge % of people jobs, even if paid less. The incentive to do your work well, be loyal and be promoted would be a norm again, not a demand to be paid a certain salary, over your contributions worth to the business or farmer.
SH: I agree HM, you will always get people abusing their position, whether it is employee or employer, that however is the exception to the rule. By regulating industries based on the exception, you create socialism and no free market system can survive. There are no winners, only the unions, like Cosato who now moved in.
CD: Please listen to Tygerberg radio if you can. Just did interview on this issue Sent via my BlackBerry from Vodacom - let your email find you!
I think more is being expected of minimum wage earners than is expected of others and even ourselves. Until we have been in the shoes of the people we are discussing for any significant period of time, I guess it is understandable that we will see things from 'our point of view' and bias is unavoidable. Thanks everyone for entering in to this discussion - it helps us all consider these things with the benefit of other peoples experience or views.
Continued...
ReplyDeleteSH: It has nothing to do with bias, it is about considering all the aspects, but maybe you are right, too much may be expected of these farm workers, let them find something better and the farmers can mechanize and use displaced whites who are prepared to do the work at less than minimum wage because it is better than being unemployed
CD: I have no problem understanding that you have your opinion and it is hard and fast. Thanks for sharing - we have all heard you - probably heard more than you think!!!!!!
GS: Thanks for all the discussion, It is interesting reading. I say government hands off, Let supply and demand flow like a river. Let all the women selling themselves in the newspapers be able to find honest livelihoods for themselves. Let the clothing industry create work for niche markets at every level, Allow farmers and entrepreneurs create work at every level. Like a great forest which has levels of life and ingenuity at every level from below the soil to the tree tops, from the orchids and ferns and epiphytes which cling to the trunks and branches to the ferns which grow in the shade. God made people so creative and gave them intelligence and consciousness, May God guide us and give us wisdom to meet the challenges that lie before us.
SH: Well said GS, I doubt if God have different values for different people. I say let's work together to create a country where the 10 Commandments are adhered to
GS: At our agricultural convention we were told that government wanted to depopulate the platteland to ensure food security. Well that is what I think we are going to see. This move benefits the big corporations who can mechanise like SAPPI who now use machines which replace 100 workers a throw.Scale of operation its called.In my neck of the woods I hear that 100 people could lose their jobs from just 3 farms. The margins are just not there. Look at this. My farm just tips the 5 million mark making me have to be BBBEEE compliant and have a score card, I pay 2.3 million on staff,500000 on variable costs R500000 on admin, 1.8 million on transport. Transport and fuel costs are soaring. We are now forced to pay a minimum wage double what we have been paying, Where can I find 3 or 4 million to pay staff. The world recession is pushing prices of farm goods down and importers can land produce at cheaper rates than farmers can produce them in this country.
I just praise God that he has given us intelligence and that "necessity is the mother of invention". I pray for a new creative spirit. I have got options[1]Go through the storm [2]Lease out,
Continued...
ReplyDeleteGS: More options [3]Sell the farm. If I continue farming how can I increase farm income to pay the extra wages? How can I ensure the workers bring food to work so that a full day is worked? There are many corners on a farm where people hide and traditionally the workers have worked short hours and get home after 3 or 4 hours work. The absenteeism increases after every pay day, The mills are hard pressed to make sure there is enough product to sustain them, Farms which are sold often become unproductive. Yes I understand from an employers angle .Yet I too am a worker and have had to augment my income from the farm from an early age keeping bees [I started at R50 a month]and harvesting them myself .because whilst the farm is a lovely place to live on the one thing farms lack is lots of money ,because there is so much maintenance and development to be done. There is no idle land ,It is veld or forest and the veld is well managed and carries livestock belonging to 15 plus of the farmworkers including my own .To increase them would be to overstock the farm. This veld management is very sensitive and any intervention by government would put the results of 50 years of resting and grazing 100 years back in a few years. So I ask humbly please pray for all farmers and their workers we face a very difficult time and there are agents ready to cause chaos at the drop of a hat. Agents who feel nothing at the burning down of someone’s lifelong dream and investment ,who feel nothing of the suffering of those who have no work and who lose their work. Pray for revival and a true and good reformation where vision and hope are restored, I like what I saw in Ruanda where families were given 1 cow each and had to zero graze them. I have given 4 of my men one calf each with the same idea in mind and am teaching this zero grazing idea because a cow can feed the family and give dignity and be the activator for compost and a healthy garden, But if left to wander around as they do throughout our country the result is selective grazing and damage to the veld. I pray that there be no more violent revolution in our country .Let God arise and our enemies be scattered.
CD: Dear GS and SH
I also want to live in the world you have described in previous mails - I really do - but this is the world we live in - one where people feel aggrieved, where people were and are disadvantaged, where people are hurting and are angry. Yes often peoples circumstances are the result of choices they make but often they are the result of other peoples choices and choices they didn't have. In the bible I read God is very concerned with poor people, hurting people and justice. I have experienced the grace of God in my life where I have made bad choices - I want to show that same grace to others - and I'm not saying it is easy - just something I value. Guy your approach to life, the work you do and the people you live and work with is exemplary but you know - not everyone is like you and a lot of damage has been done. We cannot just ignore peoples pain and grievances - the bible I read does talk about making right. A lot has gone down in this world - good and bad - and a lot has gone down in this country - good and bad. Tempers do flare and situations have to be managed. Sonia should understand this as I notice she has a temper that flares. I could be wrong because impressions are not always accurate but Sonia herself appears to be one of the hurting and aggrieved people I refer to - and I say this only because of the defensive and attacking manner she often exhibits in her communication. Everyone has a story - everyone has a point of view - and everyone deserves to be heard. Often though - the bitterness, hurt and anger coming through what we say to each other shuts peoples ears and hearts. I am thinking that just as people try to be gracious and patient with people like Sonia so too should we try to be patient with those expressing their issues in other unpleasant ways - like protests! We have to find ways of helping people FEEL heard. Just saying!