About 95 percent of employers unhappy with new labour law: Survey

A SURVEY conducted recently by Industrial Psychology Consultants (IPC) revealed that about 95 percent of local employers are unhappy with the recent amendments to the Labour Act.

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Most of the companies are even failing to pay workers whose contracts were terminated on or after the Supreme Court ruling of July 17, 2015.

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It is believed that as many as 20 000 workers have been dismissed based on the ruling.

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“Generally, employers are displeased with the new Labour Act. Only a small fraction of employers, 5 percent, said that the Act was fair and that it expedites dispute resolution,” reads part of the key findings by IPC.

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The survey also established that 38 percent of companies terminated mostly non-managerial employees.

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Only 2 percent of the respondents terminated more managerial employees.

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Most of the companies are still negotiating with their former employees and/ or representatives to facilitate a payment plan as they have not paid the minimum required retrenchment packages.

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The survey was conducted on 14 sectors of the economy ranging from media, agriculture and agri-processing, medicine and pharmaceuticals, tourism, information technology to financial services.