Job destruction in the South African clothing industry: How an unholy alliance of organised labour, the state and some firms is undermining labour-intensive growth

dc.contributor.authorNattrass, Nicoli
dc.contributor.authorSeekings, Jeremy
dc.date.accessioned2016-05-06T08:09:31Z
dc.date.available2016-05-06T08:09:31Z
dc.date.issued2013
dc.date.updated2016-05-06T07:49:21Z
dc.description.abstractFor ten years, the National Bargaining Council for the Clothing Manufacturing Industry (NBC) has been used by the South African Clothing and Textile Workers Union (Sactwu) and by largely Cape Town-based employers to impose higher labour costs on 'Chinese' employers in Newcastle, in northern KwaZulu-Natal. Many Newcastle employers have failed to comply with the rising minimum wages and levies imposed by the Council. The struggle intensified in 2010/11 when the NBC used the labour courts to put pressure on, and close down, targeted non-compliant firms, in response to which some employers initiated legal action against the Minister of Labour and the NBC. The struggle between the NBC and non-compliant firms is of broader importance because the non-compliant firms comprise the labour-intensive rump of the last remaining labour-intensive manufacturing sector in South Africa. Their fate draws our attention to the role of labour market policies and institutions (especially the process of minimum wage-setting through bargaining councils), trade liberalisation and industrial policy in determining the viability of labour-intensive manufacturing. The Newcastle case shows how, under the guise of promoting 'decent work' and the supposed levelling of the playing field for producers, an unholy coalition of a trade union, a group of employers and the state can initiate and drive a process of structural adjustment which undermines labour-intensive employment and exports South African jobs to lower-wage countries such as Lesotho and China.en_ZA
dc.identifier.apacitationNattrass, N., & Seekings, J. (2013). <i>Job destruction in the South African clothing industry: How an unholy alliance of organised labour, the state and some firms is undermining labour-intensive growth</i> University of Cape Town ,Faculty of Humanities ,Centre for Social Science Research(CSSR). Retrieved from http://hdl.handle.net/11427/19469en_ZA
dc.identifier.chicagocitationNattrass, Nicoli, and Jeremy Seekings <i>Job destruction in the South African clothing industry: How an unholy alliance of organised labour, the state and some firms is undermining labour-intensive growth.</i> University of Cape Town ,Faculty of Humanities ,Centre for Social Science Research(CSSR), 2013. http://hdl.handle.net/11427/19469en_ZA
dc.identifier.citationNattrass, N., & Seekings, J. (2013). Job destruction in the South African clothing industry: How an unholy alliance of organised labour, the state and some firms is undermining labour-intensive growth. CSSR Working Paper, (323).en_ZA
dc.identifier.ris TY - Working Paper AU - Nattrass, Nicoli AU - Seekings, Jeremy AB - For ten years, the National Bargaining Council for the Clothing Manufacturing Industry (NBC) has been used by the South African Clothing and Textile Workers Union (Sactwu) and by largely Cape Town-based employers to impose higher labour costs on 'Chinese' employers in Newcastle, in northern KwaZulu-Natal. Many Newcastle employers have failed to comply with the rising minimum wages and levies imposed by the Council. The struggle intensified in 2010/11 when the NBC used the labour courts to put pressure on, and close down, targeted non-compliant firms, in response to which some employers initiated legal action against the Minister of Labour and the NBC. The struggle between the NBC and non-compliant firms is of broader importance because the non-compliant firms comprise the labour-intensive rump of the last remaining labour-intensive manufacturing sector in South Africa. Their fate draws our attention to the role of labour market policies and institutions (especially the process of minimum wage-setting through bargaining councils), trade liberalisation and industrial policy in determining the viability of labour-intensive manufacturing. The Newcastle case shows how, under the guise of promoting 'decent work' and the supposed levelling of the playing field for producers, an unholy coalition of a trade union, a group of employers and the state can initiate and drive a process of structural adjustment which undermines labour-intensive employment and exports South African jobs to lower-wage countries such as Lesotho and China. DA - 2013 DB - OpenUCT DP - University of Cape Town LK - https://open.uct.ac.za PB - University of Cape Town PY - 2013 T1 - Job destruction in the South African clothing industry: How an unholy alliance of organised labour, the state and some firms is undermining labour-intensive growth TI - Job destruction in the South African clothing industry: How an unholy alliance of organised labour, the state and some firms is undermining labour-intensive growth UR - http://hdl.handle.net/11427/19469 ER - en_ZA
dc.identifier.urihttp://hdl.handle.net/11427/19469
dc.identifier.vancouvercitationNattrass N, Seekings J. Job destruction in the South African clothing industry: How an unholy alliance of organised labour, the state and some firms is undermining labour-intensive growth. 2013 [cited yyyy month dd]. Available from: http://hdl.handle.net/11427/19469en_ZA
dc.languageengen_ZA
dc.publisher.departmentCentre for Social Science Research(CSSR)en_ZA
dc.publisher.facultyFaculty of Humanitiesen_ZA
dc.publisher.institutionUniversity of Cape Town
dc.rightsCreative Commons Attribution-NonCommercial-NoDerivatives 4.0 International (CC BY-NC-ND 4.0)*
dc.rights.urihttps://creativecommons.org/licenses/by-nc-nd/4.0/.en_ZA
dc.titleJob destruction in the South African clothing industry: How an unholy alliance of organised labour, the state and some firms is undermining labour-intensive growthen_ZA
dc.typeWorking Paperen_ZA
uct.type.filetypeText
uct.type.filetypeImage
uct.type.publicationResearchen_ZA
uct.type.resourceResearch paperen_ZA
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