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High Court will hear FMF labour law challenge

BRYANSTON – FMF challenge to section 32.2 of Labour Relations Act (LRA) 1995 will finally be heard in High Court.

The Free Market Foundation (FMF) Labour Law Challenge will finally be heard at Pretoria High Court from 22 to 25 February.

The Minister of Labour, Mildred Oliphant, 23 bargaining councils and Congress of South African Trade Unions (Cosatu) are expected to face FMF in court to argue the legality of section 32.2 of the Labour Relations Act (LRA) 1995.

This challenge was begun by the now Democratic Alliance (DA) City of Joburg Mayoral candidate, Herman Mashaba, in 2013. Mashaba is no longer involved with the legal process as he is part of the DA and FMF is politically neutral.

Last year, Cosatu picketed outside the FMF offices opposing the entity to continue with the legal battle. Read previous story: GALLERY: Free Market Foundation lambasts Cosatu.

The FMF argues for the right of the Minister to think for herself and consider the wider socioeconomic implications of extending agreements.

This would allow Minister Oliphant to consider the implications of the unemployed, small businesses and marginal workers of extending private contracts between unions and employers to non-parties.

In a statement by the FMF, the Minister currently does not have a choice and must extend agreements but if changed, it would prevent the Minister from being compelled by bargaining councils to extend agreements to non-parties.

According to FMF executive director Leon Louw, the clause had a direct impact on unemployment, job creation and business development. South Africa has the world’s highest enduring unemployment rate and a stagnating economy.

Details: Free Market Foundation, 011 884 0270.

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