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Labour Case Law: It’s all in the interpretation

Lawyers are the ultimate knowledge workers. Quality legal advice is dependent on access to accurate and timely legal information. As such, staying informed about legislative changes, new Government policies or recent case law is a vital part of the job. Thankfully, if you want in-depth analysis and true thought leadership, you should attend a SEIFSA Industrial Relations and Legal Services seminar, where you will:

• Save time: automatically and efficiently receive the latest information and research;
• Keep up to date: stay informed of recent developments in your areas of interest; and
• Better work output: your work quality will improve from having the latest information.

In South Africa with its militant workforce and volatile Industrial Relations environment, it assumes an even more important role. Your first reaction counts, and the wrong or even outdated advice can ruin relationships with workers and trade unions irreparably. The result is that trust can be broken for years to come, undermining any attempts at negotiations. Make no mistake, labour law and industrial relations are as personal as it gets. Don’t ever let the distance between your office and the shop floor mislead you.

The metals and engineering sector sits at the apex of industrial relations complexity. Your knowledge and consequent advice have an immediacy not necessarily felt in other industries. Through its many years of negotiations, SEIFSA has experienced it first-hand.

The SEIFSA team will present the most important cases and then practically dissect the consequences for industry. The team’s goal is to show you how to react when faced with similar situations. The team will demonstrate how to mitigate risk and role-play how these cases could have played out on a larger industrial relations scale.

The goal of SEIFSA’s one-day seminar will be to practically work through each case and show it as a real scenario. You will be given exercises that ask you to assume the role of the CEO, the HR Manager and, finally, the legal adviser. What are their expectations and how will you, in the role of Legal Adviser or Industrial relations Manager, respond, coordinate and communicate the response? You need to know the latest developments on:

• Dismissals for Strike-related misconduct
• Discrimination in employment
  • Equal pay for work of equal value
  • Defences against claims of unfair discrimination
  • Role of Independent Contractors
  • Section 197 transfers
  • Changing terms and conditions of employment
  • Liability of trade unions for the wrongful conduct of their members

• Legislative Developments
  • National Minimum Wage Bill 31/2017
  • Labour Relations Amendment Bill 32/2017
  • Basic Conditions of Employment Amendment Bill 30/2017

Therefore, if you are an IR and/or HR Practitioner, a Legal Practitioner, a line Manager responsible for Industrial Relations or Human Resources functions, SEIFSA’s seminar must be considered as a “can’t-miss” event.

The goal of SEIFSA’s one-day seminar will be to practically work through each case and show it as a real scenario. You will be given exercises that ask you to assume the role of the CEO, the HR Manager and, finally, the legal adviser. What are their expectations and how will you, in the role of Legal Adviser or Industrial relations Manager, respond, coordinate and communicate the response? You need to know the latest developments on:

• Dismissals for Strike-related misconduct
• Discrimination in employment
  • Equal pay for work of equal value
  • Defences against claims of unfair discrimination
  • Role of Independent Contractors
  • Section 197 transfers
  • Changing terms and conditions of employment
  • Liability of trade unions for the wrongful conduct of their members

• Legislative Developments
  • National Minimum Wage Bill 31/2017
  • Labour Relations Amendment Bill 32/2017
  • Basic Conditions of Employment Amendment Bill 30/2017

Therefore, if you are an IR and/or HR Practitioner, a Legal Practitioner, a line Manager responsible for Industrial Relations or Human Resources functions, SEIFSA’s seminar must be considered as a “can’t-miss” event.

Let’s look at an example. Take the key changes that deal with the employees of temporary employment services, employees on fixed-term contracts and part-time employees. In summary, the amendments are aimed at

• Limiting the use of labour brokers to genuine temporary needs. For workers earning below the Basic Conditions of Employment Act earnings threshold, if the worker is not performing a “temporary service” for the client – that is work lasting less than three months – then not only is the client deemed to be the employer of the labour-broker worker, but on the whole the worker is also entitled to be treated no less favourably than an employee of the client performing the same or similar work, unless there is a justifiable reason for different treatment.
• Employers can only employ somebody on a fixed-term contract or successive fixed-term contracts for longer than three months if the nature of the work is of a genuinely limited or defined duration, or the employer can demonstrate justifiable reasons for fixing the term of the contract.

Labour Law principles as set out in legislation are often broad, and the application of these principles is uncertain in most cases. The problem is that interpretation by courts is sometimes inconsistent.

SEIFSA’s Industrial Relations and Legal Services team, through case law and academic discussion papers, is able to unpack the practical application of legislation and its implications for your workplace.

The company-employee relationship is, like any other relationship, vulnerable to the vagaries of personal and communication style and perceptions of “the other”. The relationship also naturally creates a perception of “us” and “them”. This is why rules of engagement are absolutely essential in guiding professionals through a potential minefield. Your goal should be the long-term stability and potential growth of the business – this includes stability of the relationships between the employer and the employees.

Protecting this sometimes-fragile bond is part and parcel of SEIFSA’s core mandate.For that reason, we keep our members informed about recent developments in Labour Law. We invite you to leverage our skills and knowledge to ensure that your relationships with employees remain stable, calm, cordial and mutually beneficial.

Johannesburg, 6 March 2918 – The Steel and Engineering Industries Federation of Southern Africa (SEIFSA) welcomes the improvement in South Africa’s real gross domestic product (GDP) and is encouraged by it, SEIFSA Economist Marique Kruger said this afternoon.

Statistics South Africa reported that the country’s GDP grew by 3.1% during the fourth quarter of 2017, up from a revised 2.3% quarter-on-quarter increase recorded in the third quarter of 2017.

“Given the negative economic headlines at the end of 2017, which included a downgrade of the country’s credit ratings and the possibility of a further downgrade, this is certainly a welcome development. Moreover, the annual growth rate was recorded at 1.3% for 2017, higher than expected and higher when compared to the revised 0.6% increase recorded in 2016,” Ms Kruger said.

The Statistics South Africa data also show that the figures for the fourth quarter of 2016 were revised from negative to positive, indicating that South Africa was not technically plummeted into a recession at the beginning of 2017.

Ms Kruger said that a detailed analysis of the GDP data further indicated that the growth in GDP was largely underpinned by, amongst other sectors, the positive contribution made by the manufacturing sector. The industry grew by 4.3% quarter-on-quarter in the fourth quarter of 2017, following a 3.7% quarter-on-quarter growth in the third quarter of 2017.

Ms Kruger said a nuance of the performances of the various sub-sectors of manufacturing highlight the positive contribution made by some sub-components of the Metals and Engineering (M&E) sector. The best performers in the M&E sector in the fourth quarter of 2017 were the rubber and plastic products, the basic iron and steel, non-ferrous metal products, metal products and machinery sub-components.

“Generally, indications are that the M&E sector is still under tremendous pressure stemming from structural problems, volatility in input costs and international commodity prices. However, we are hopeful that improved business and consumer confidence in light of recent local political developments will carry through in 2018, thereby allowing business to take advantage of increased optimism,” Ms Kruger concluded.

Issued by:
Ollie Madlala
Communications Consultant
Tel: (011) 298 9411 / 082 602 1725
Email: ollie@seifsa.co.za
Web: www.seifsa.co.za

SEIFSA is a National Federation representing 23 independent employers. Associations in the metals and engineering industries, with a combined membership of 1600 companies employing around 200 000 employees. The Federation was formed in 1943 and its member companies range from giant steel-making corporations to formed in 1943 and its member companies range from giant steel-making corporations to micro-enterprises employing few than 50 people.

Johannesburg, 5 March 2018 – Businesses form an integral part of the communities in which they operate. Therefore, it follows logically that, like other responsible citizens, businesses should play a positive role and invest in the communities in which they operate, according to Steel and Engineering Industries Federation of Southern Africa (SEIFSA) Chief Executive Officer Kaizer Nyatsumba.

“Everything we do as the business community impacts directly, one way or the other, on the environment and communities in which we operate in. We should, therefore, commit and strive not only to counter the effects that our business operations may have on the environment and the surrounding communities, but also to give back to the members of those communities,” Mr Nyatsumba said.

He cautioned, however, that corporate social investment (CSI) projects should not be carried out as tick-box exercises. Instead, he said they should be meaningful and constructive and benefit community members in a sustainable manner.

To celebrate companies that go out of their way to invest in the environment and communities in which they operate, SEIFSA will present the CSI Award to a company whose corporate social investment programme/s in 2017 had a major impact on the lives of its beneficiaries.

Other awards that form the seven categories of the SEIFSA Awards for Excellence are:

• The Most Innovative Company of the Year, which will be awarded to a company that showed the best level of innovation in research and development or production in 2017;
• The Most Transformed Company of the Year Award will be received by a company that showed the highest transformation level in the composition of its Board of Directors, Executive Management and Managerial Team in 2017. This award category pits companies employing fewer than 100 people against those of similar size, and companies employing more than 100 companies against others of similar size.
• The Health and Safety Award of the Year will be offered to a company with the best legal compliance record in Health and Safety or the lowest Lost-Time Injury Frequency rate in 2017;
• The company rated the highest in customer service performance in 2017 will receive the Customer Service Award of the Year;
• This is the Decade of the Artisan, and an award will be made to the company that trained the highest number of artisans in 2017;
• The Environment Stewardship Award will go to a company that has successfully implemented greening initiatives in its day-to-day business operations in 2017.

Mr Nyatsumba encouraged manufacturers operating in the metals and engineering sector to submit their entries for the seven categories before the deadline date of 29 March 2019. SEIFSA awards entrants will be assessed on their performance in the period January 1, 2017 to December 31, 2017. Participants can enter by visiting the SEIFSA awards website (www.seifsaawards.co.za).

The Awards are open to all companies in the metals and engineering sector, and not only those that are members of Associations affiliated to SEIFSA.

Awards winners will be honored at a ceremony that will take place at the IDC Conference Centre in Sandton on 24 May 2018.

Issued by:

Ollie Madlala

Communications Consultant

Tel: (011) 298 9411 / 082 602 1725

Email: ollie@seifsa.co.za

Web: www.seifsa.co.za

SEIFSA is a National Federation representing 23 independent employers. Associations in the metals and engineering industries, with a combined membership of 1600 companies employing around 200 000 employees. The Federation was formed in 1943 and its member companies range from giant steel-making corporations to formed in 1943 and its member companies range from giant steel-making corporations to micro-enterprises employing few than 50 people.

Johannesburg, 28 February 2018 – The latest release on the Producer Price Index (PPI) for intermediate manufactured goods published by Statistics South Africa (Stats SA) today reflects a further deterioration in selling price inflation in the metals and engineering (M&E) sector, Steel and Engineering Industries Federation of Southern Africa (SEIFSA) said today.

The Stats SA data showed that the PPI for intermediate manufactured goods decreased to 1.5 percent year on year in January 2018, from the 3.2 percent recorded in December 2017.

“This a poor performance, especially given the four consecutive months of PPI increases for intermediate manufactured goods prior to December 2017,” SEIFSA Economist Marique Kruger said.

Also, given the volatility of input costs in the sector, the deceleration in the PPI data leaves manufacturers with little leeway to pass cost increases on to the market. Correspondingly, SEIFSA’s composite input cost index, which tracks the average cost structure for the M&E sector, was recorded at 1.4 percent in January 2018, up from 3.4 percent in December 2017.

Ms Kruger said it is important to maintain a positive differential in the selling price inflation and input cost inflation in order for the sector to stay attractive for existing and new investments.

“Hopefully, the PPI for intermediate manufactured goods will rebound against the backdrop of a continued improvement in business confidence, especially in light of recent developments in South Africa’s political landscape,” Ms Kruger said.

Issued by:

Ollie Madlala

Communications Consultant

Tel: (011) 298 9411 / 082 602 1725

Email: ollie@seifsa.co.za

Web: www.seifsa.co.za

SEIFSA is a National Federation representing 23 independent employers. Associations in the metals and engineering industries, with a combined membership of 1600 companies employing around 200 000 employees. The Federation was formed in 1943 and its member companies range from giant steel-making corporations to formed in 1943 and its member companies range from giant steel-making corporations to micro-enterprises employing few than 50 people.

Johannesburg, 1 March 2018 – The Steel and Engineering Industries Federation of Southern Africa (SEIFSA) welcomes the continued improvement in overall business activity in the manufacturing sector as reflected in the ABSA Purchasing Managers’ Index, SEIFSA Economist Marique Kruger said.

The data showed that the PMI improved from 49.9 percent in January 2018 to 50.8 percent in February 2018. This is the first time since May 2017 that the indicator trended above the neutral level of 50, which is very encouraging for companies in the metals and engineering (M&E) sector.

“The PMI is an important lead indicator that sets the tone for how producers and relevant stakeholders in the manufacturing sector view the month ahead. The performance of the index can partly be attributed to improved business confidence in light of the growing optimism and business confidence following recent political developments in the country,” Ms Kruger said.

In terms of the various sub-indices, the strongest performer was the new sales orders sub-index registering 52.7 percent in February 2018, from 50.4 in January 2018, while the weakest performer was the inventories sub-index registering 44.9 percent in February 2018, from 47.3 percent in January 2018.

Ms Kruger said the Federation’s expectation is that next month’s data for the composite PMI indicator could improve further, provided that business confidence continues its positive trajectory.

Ms Kruger said SEIFSA was also hopeful that businesses in the M&E sector would take advantage of the general buoyancy, improving business prospects and positive expectations to increase production.

Issued by:
Ollie Madlala
Communications Consultant
Tel: (011) 298 9411 / 082 602 1725
Email: ollie@seifsa.co.za
Web: www.seifsa.co.za

SEIFSA is a National Federation representing 23 independent employers. Associations in the metals and engineering industries, with a combined membership of 1600 companies employing around 200 000 employees. The Federation was formed in 1943 and its member companies range from giant steel-making corporations to formed in 1943 and its member companies range from giant steel-making corporations to micro-enterprises employing few than 50 people.

Johannesburg, 27 February 2018 – The Steel and Engineering Industries Federation of Southern Africa (SEIFSA) has welcomed President Cyril Ramaphosa’s Cabinet restructuring, but expressed disappointment at the retention of at least two Ministers with unimpressive performance in their previous portfolios, the Federation’s Chief Executive Officer Kaizer Nyatsumba said this morning.

“We are particularly pleased with the reappointment of Mr Nhlanhla Nene as the Finance Minister and Mr Pravin Ghordhan as the Public Enterprises Minister. These are credible, hard-working men who have demonstrated high levels of integrity,” Mr Nyatsumba said.

The Federation also welcomed the appointments of Ms Lindiwe Sisulu as International Relations Minister, Mr Bheki Cele as the Minister of Police, Dr Zweli Mkhize as the Coorporative Governance and Traditional Affairs Minister and Mr Gwede Mantashe as the Mineral Resources Minister.

“Mr Mantashe has a long history in and good understanding of the mining sector, having once served as the General Secretary of the National Union of Mineworkers. We hope that his appointment into the Ministry will help solve the impasse between Government and the mining sector, which will bode well for the metals and engineering sector, given the strong symbiotic relationship that exists between mining and the two sectors,” Mr Nyatsumba said.

He said that while SEIFSA would have preferred an immediate reduction of the bloated Cabinet and the appointment of only men and women whose integrity is beyond question, nevertheless he understood that President Ramaphosa had to perform “a delicate balancing act” to please various constituencies within the governing party and its alliance partners, especially ahead of next year’s crucial general elections.

However, Mr Nyatsumba expressed “deep disappointment at the retention of some inefficient Ministers who had failed disastrously in their previous portfolio, such as the controversial Bathabile Dlamini”.

Mr Nyatsumba said SEIFSA called on all Cabinet Ministers, both new and old, to move with speed to improve policy coherence in Government and to fast-track an inclusive economic growth agenda in the interest of employment creation and poverty alleviation. He said it was important for the President and his Cabinet  to understand that they were “servants of the people”, with their job being to serve the best interests of the country, and not their own selfish interests or those of their friends or families.

“Like many other business representatives, SEIFSA stands ready to work with the new leadership in the best interests of South Africa Incorporated,” he said.

Mr Nyatsumba said SEIFSA hoped that, in the event that the governing party obtains a majority in next year’s elections, President Ramaphosa would make good on his promise to reduce the size of the Cabinet significantly and appoint only men and women of integrity.

Issued by:

Ollie Madlala

Communications Consultant

Tel: (011) 298 9411 / 082 602 1725

Email: ollie@seifsa.co.za

Web: www.seifsa.co.za

SEIFSA is a National Federation representing 23 independent employers. Associations in the metals and engineering industries, with a combined membership of 1600 companies employing around 200 000 employees. The Federation was formed in 1943 and its member companies range from giant steel-making corporations to formed in 1943 and its member companies range from giant steel-making corporations to micro-enterprises employing few than 50 people.

Johannesburg, 26 February 2018 – South Africa’s metals and engineering (M&E) sector is one of the country’s least transformed sectors of the economy. Against this backdrop, among others, the Steel and Engineering Industries Federation of Southern Africa (SEIFSA) established the SEIFSA Awards for Excellence not only to encourage companies operating in this vital sector of the economy to transform, but also to celebrate those companies that have are trailblazers when it comes to transformation.

“Transformation in the M&E sector has taken place in a painfully slow pace. We, therefore, believe that it is critically important that companies that have taken transformation of the industry seriously should be encouraged and hailed,” SEIFSA Chief Executive Officer Kaizer Nyatsumba said.

He said the Most Transformed Company of the Year Award will be received by a company that showed the highest transformation level in the composition of its Board of Directors, Executive Management and Managerial Team in 2017. This award category pits companies employing fewer than 100 people against those of similar size, and companies employing more than 100 companies against others of similar size.

Other awards that form the seven categories of the SEIFSA Awards for Excellence are:

• The Most Innovative Company of the Year, which will be awarded to a company that showed the best level of innovation in research and development or production in 2017;
• The Health and Safety Award of the Year will be offered to a company with the best legal compliance record in Health and Safety or the lowest Lost-Time Injury Frequency rate in 2017;
• Entries are also invited from companies whose Corporate Social Investment (CSI) programme/s in 2017 had a major impact on the lives of their beneficiaries;
• The company rated the highest in customer service performance in 2017 will receive the Customer Service Award of the Year;
• This is the Decade of the Artisan, and an award will be made to the company that trained the highest number of artisans in 2017;
• The Environment Stewardship Award will go to a company that has successfully implemented greening initiatives in its day-to-day business operations in 2017.

Mr Nyatsumba encouraged manufacturers operating in the metals and engineering sector to submit their entries for the seven categories before the deadline date of 29 March 2019. SEIFSA awards entrants will be assessed on their performance in the period January 1, 2017 to December 31, 2017. Participants can enter by visiting the SEIFSA awards website (www.seifsaawards.co.za).

The Awards are open to all companies in the metals and engineering sector, and not only those that are members of Associations affiliated to SEIFSA.

Awards winners will be honored at a ceremony that will take place at the IDC Conference Centre in Sandton on 24 May 2018.

Issued by:

Ollie Madlala

Communications Consultant

Tel: (011) 298 9411 / 082 602 1725

Email: ollie@seifsa.co.za

Web: www.seifsa.co.za

SEIFSA is a National Federation representing 23 independent employers. Associations in the metals and engineering industries, with a combined membership of 1600 companies employing around 200 000 employees. The Federation was formed in 1943 and its member companies range from giant steel-making corporations to formed in 1943 and its member companies range from giant steel-making corporations to micro-enterprises employing few than 50 people.

Johannesburg, 21 February 2018 –  The Steel and Engineering Industries Federation of Southern Africa (SEIFSA) welcomes the Government’s announced efforts to reduce its ballooning expenditure significantly and stabilise debt levels and considers these to be steps  in the right direction, the Federation’s Chief Economist Dr Michael Ade said today.

“These are welcome developments and targets to meet. If achieved, the 2018 budget may indicate a turning point for the domestic economy. It reflects major new expenditure commitments and corresponding reductions in line with new policy initiatives. However, the challenge is that the spending proposals reflect a trade-off between the country’s vast service-delivery needs and the need to manage Government’s finances sustainably and prudently,” Dr Ade said.

In what is considered to be a clear signal that the government is committed to fiscal consolidation, Finance Minister Malusi Gigaba announced an increase in value-added tax for the first time since 1993, lifting it from 14% to 15% from 1 April 2018. Dr Ade welcomed the initiative as a clear sign of the Government’s commitment to fiscal consolidation and its willingness to reduce the revenue shortfall.  He also welcomed the Government’s intention to increase collaboration with all law enforcement agencies to strengthen efforts to fight fraud, corruption and abuse of supply chain management (SCM) across all spheres of government in order to restore the integrity of SCM.

However, Dr Ade said that despite the Government’s concrete plans to significantly cut expenditure, Minister Gigaba’s speech lacked solid measures to improve domestic demand.

“Notwithstanding efforts aimed at supporting designation and localization, the Minister should have done more for local producers. In consideration of the hugely competitive international trade environment and increased protectionist policies taken by countries to protect their local industries, one of the best stimulatory measures within the Government’s control would have been to channel spending directly to local producers.

“This would directly ensure that there is increased capacity to produce imported inputs, thereby reducing the cost of production and directly boosting production. Once the supply side of the economy is directly taken care of, monetary policy can be used to stimulate the demand side, including consumer spending – and this would  ultimately lead to sustainable benefits for the domestic economy,” Dr Ade said..

He added that the budget was consistent with President Ramaphosa’s promise, during his maiden State-of-the-Nation Address, that tough decisions would be taken to close the fiscal gap, stabilize debt and restore State-owned companies to good health.

He said that it remained to be seen if the budget speech would be enough to satisfy international ratings agencies.

Dr Ade warned that the road ahead is still long and windy before a sustainable turnaround in the economy can be achieved, with public finances restored to good health. He said containing Government expenditure was necessary not only to satisfy ratings agencies or investors, but also to demonstrate Pretoria’s willingness to make the necessary sacrifices.

He said Minister Gigaba’s speech did not provide any clear signs of a shift in economic policy, but contained “the same dose of optimism that characterised President Ramaphosa’s State-of-the-Nation address”.

He expressed hope that the country had done enough to avoid further ratings downgrades.

“That would give us some breathing space to fold our sleeves and take on the arduous task of closing the fiscal gap, stabilize and improve our debt levels and restore State-owned companies to good health,” Dr Ade concluded.

Issued by:

Ollie Madlala

Communications Consultant

Tel: (011) 298 9411 / 082 602 1725

Email: ollie@seifsa.co.za

Web: www.seifsa.co.za

SEIFSA is a National Federation representing 23 independent employers. Associations in the metals and engineering industries, with a combined membership of 1600 companies employing around 200 000 employees. The Federation was formed in 1943 and its member companies range from giant steel-making corporations to formed in 1943 and its member companies range from giant steel-making corporations to micro-enterprises employing few than 50 people.

Johannesburg, 19 February 2018 – The Steel and Engineering Industries Federation of Southern Africa (SEIFSA) is extremely concerned that the quandary of the local steel industry will continue to worsen in 2018, if the U.S Commerce Department’s recommendation for a tariff of at least 53% on all steel imports from 12 countries – including South Africa – is accepted, SEIFSA Chief Economist Dr Michael Ade said today.

The US’s Department of Commerce recommended the imposition of the tariff rate on all imported steel products from Brazil, China, Costa Rica, Egypt, India, Malaysia, Russia, South Korea, South Africa, Thailand, Turkey and Vietnam, in addition to any anti-dumping or countervailing duty collections applicable to any steel products from those countries. All other countries would be limited to 100 percent of their 2017 import level.

According to the Global Trade Analysis Project (GTAP) Model, produced by Purdue University, a 53% tariff on all steel imports from the aforementioned countries would be expected to reduce imports by 13.3 million metric tons from 2017 import levels from the targeted countries. This action would enable an increase in domestic production in the U.S. to achieve an 80% capacity utilisation rate at 2017 demand levels (including exports). The countries identified are projected to account for less than 4% of American steel imports in 2017.

In January this year, the U.S. Department of Commerce announced an affirmative final determination in the anti-dumping duty (AD) investigations of imports of carbon and alloy steel wire rod from South Africa and Ukraine. This followed parallel investigations launched in October 2017 by both the U.S Department of Commerce and the U.S International Trade Commission (ITC) to determine if American producers had been harmed by carbon and alloy steel wire rod imports from Italy, the Republic of Korea, South Africa, Spain, Turkey, Ukraine and/or the United Kingdom.

For the South African investigations, the U.S Department of Commerce assigned a dumping rate of 142.26 percent for the entity composed of ArcelorMittal South Africa Limited, Scaw South Africa (PTY) Ltd (also known as Scaw Metals Group) and Consolidated Wire Industries, based on adverse facts available due to these companies’ alleged failure to respond to the Department’s requests for information.

The ITC is scheduled to make its final determination on or about 22 February 2018. If the ITC makes an affirmative final determination that imports of carbon and alloy steel wire rod from South Africa and/or Ukraine materially injure, or threaten material injury to the domestic industry, the US Department of Commerce will issue anti-dumping orders. Should the ITC make negative determinations of injury, the investigations will be terminated.

SEIFSA raised its concerns last year about the initial investigations and commented that it was just a tip of the iceberg, with the possibility of anti-dumping duties being extended to other domestic steel products. The Federation also highlighted the potential for retaliation from many overseas trading partners in order to protect their steel industries.

Dr Ade said although the initial indications were for possible tariff imposition on selected steel products from SA, it now appeared that the U.S Commerce Department was advocating for the imposition of a blanket tariff on all SA steel exports.

“This is really a matter of enormous concern to SEIFSA, since the latest developments have the potential of further dampening production in the local steel industry, reducing steel exports to the U.S, squeezing margins and depriving the steel industry of much-needed foreign reserves. Imports of Carbon and Alloy steel wire rod by the U.S from South Africa was valued at an estimated $7.1 million,” Dr Ade said.

He said this situation was further compounded by a low domestic growth scenario which did not augur well for local steel production. He said that for growth in apparent steel consumption to be sustainable, the overall economy’s GDP has to grow by at least 5% – and the South African economy has not grown at those levels since 2007.

Dr Ade said the high uncertainty in steel production and imported input cost, which was sensitive to exchange rate volatility, was of particular concern. He feared that widespread protectionism of steel products might lead to trade wars and further price spikes in the raw materials used in everything from autos manufacturing to household appliances and construction. Of particular concern has been the high uncertainty in steel production and imported inputs cost, which is sensitive to exchange rate volatility.

“The recent developments in the U.S are of grave concern to SEIFSA, given the strategic importance of the local steel industry. SEIFSA supports any collective initiative aimed at addressing the situation and lessening the effects of a final decision by the U.S Department of Commerce on SA steel producers,” concluded Dr Ade.

SEIFSA Chief Executive Officer Kaizer Nyatsumba said although the Federation also called for the imposition of tarrifs on some foreign imports into South Africa, it did so only when it believed there was unfair competition as a result of manufacturing subsidies and export incentives, as is the case with some Asian imports.

Mr Nyatsumba called on the Department of Trade and Industry speedily to engage its US counterpart in a discussion in an effort to resolve this matter.

Issued by:

Ollie Madlala

Communications Consultant

Tel: (011) 298 9411 / 082 602 1725

Email: ollie@seifsa.co.za

Web: www.seifsa.co.za

SEIFSA is a National Federation representing 23 independent employers. Associations in the metals and engineering industries, with a combined membership of 1600 companies employing around 200 000 employees. The Federation was formed in 1943 and its member companies range from giant steel-making corporations to formed in 1943 and its member companies range from giant steel-making corporations to micro-enterprises employing few than 50 people.

For 75 years, the Steel and Engineering Industries Federation of Southern Africa (SEIFSA) has represented the metals and engineering industries, provided active support for Employer Associations and lobbied for policies that have improved the business environment in which its members operate. This rich, 75-year legacy has been possible due to active support throughout the years from our members and their respective companies – and we remain deeply grateful for it.

To celebrate this significant milestone and to profile its proud legacy, SEIFSA will publish a 60-page glossy, high-quality 75^th Anniversary Special Magazine. To be called SEIFSA at 75, the magazine will map SEIFSA’s 75-year journey by highlighting the Federation’s most memorable events, including key milestones, past challenges and transformation of the Federation, among others.

SEIFSA at 75 will offer key insights into South Africa’s changing political environment, South Africa’s economic outlook, the outlook for the metals and engineering sector as well as the future of collective bargaining, and other external environmental factors that will have an impact on the metals and engineering sector.

To be sold to approximately 2 500 SEIFSA member companies and other interested parties, SEIFSA at 75 offers an opportunity to companies in the metals, engineering and related sectors (both SEIFSA members and non-members) and their suppliers to tell their stories, wish SEIFSA a happy 75^th birthday or advertise their product and service offerings by taking up advertising space at very competitive rates.

Following below is the proposed content:

Content:

• Introduction and purpose of SEIFSA at 75
• Foreword and Message from the SEIFSA CEO
• Message of Support from the Department of Trade and Industry and the Department of Economic Development
• Message from SEIFSA President Michael Pimstein
• Message from Operations Director Lucio Trentini
• Interview with SEIFSA President Michael Pimstein
• Interview with SEIFSA’s first – and, to date, only – black President, Ufikile Kumalo
• Interview with SEIFSA’s first – and, to date, only – female President, Angela Dick
• Profiles of SEIFSA’s Divisions and their service/product offerings
• An interview with SEIFSA Associations Manager Theresa Crowley
• Messages from Chairpersons of Associations federated to SEIFSA, about their Associations and their history with SEIFSA
• Pictures of all SEIFSA staff members (Team SEIFSA), with names and positions occupied
• Group picture of the SEIFSA Board of Directors
• Comprehensive story of SEIFSA’s evolution from its birth in 1943 and, where possible, stories and pictures of the key past players:

The SEIFSA Journey

• The SEIFSA Journey from the beginning (including the need to establish SEIFSA)
• past challenges,
• the key milestones,
• past SEIFSA CEOs/Executive Directors and their legacies
• past SEIFSA Presidents and their legacies
• The transformation journey
• The birth of the Southern African Metals and Engineering Indaba and the SEIFSA Awards for Excellence
• The Journey-ahead interviews with:
• CEO Kaizer Nyatsumba on changes taking place on the political front and their impact on the environment that SEIFSA members operate in;
• Chief Economist Dr Michael Ade on South Africa’s economic outlook, the outlook for the metals and engineering sector and the way forward;
• Operations Director Lucio Trentini on the future of collective bargaining, trade unions;
• Human Capital and Skills Development Executive Melanie Mulholland on the SEIFSA Bursary Scheme and the;
• The SEIFSA Training Centre (the need to establish the STC, the number of graduates it has produced and interview/s with one or two now successfully-employed graduates
• The CSI initiatives (profile the SEIFSA Bursary Scheme, mention the number of people whose tertiary (university or technikon) studies were funded or co-funded by SEIFSA and interview some of the more successful SEIFSA Bursary recipients)

I hereby invite you, as a company or organisation with a keen interest in the welfare of the metals and engineering sector in particular and manufacturing in general, to help us celebrate our 75-year legacy by advertising in this special publication, which will reach thousands of your current and potential customers.

To be published between May and June 2018, the publication will have a minimum shelf life of six to seven months during the course of the year.

The glossy, high-profile SEIFSA at 75 magazine offers a limited number of advertisers an opportunity to gain exposure to an affluent and influential audience, thus improving awareness levels. Don’t miss the opportunity to be one of the advertisers.

Don’t miss out on being among the limited number of advertisers in SEIFSA at 75. Book your ad now by calling or e-mailing Kristen Botha on (011) 298-9455 or Kristen@seifsa.co.za.

Please find attached the relevant advertising rates and deadlines. I look forward to seeing your ad in our glossy, high-profile SEIFSA at 75 magazine.

Yours Sincerely

Kaizer M. Nyatsumba

Chief Executive Officer