Build­ing in­dus­try im­ple­ments new labour cat­e­gory

Weekend Argus (Saturday Edition) - - PROPERTY -

THE BUILD­ING In­dus­try Bar­gain­ing Coun­cil ( BIBC) has an­nounced the new cat­e­gory Labourer L2, which au­to­mat­i­cally ap­plies to labour­ers af­ter re­ceiv­ing 122 daily em­ployee ben­e­fit fund cred­its.

Arnold Wil­liams, sec­re­tary for the Build­ing In­dus­try Bar­gain­ing Coun­cil (Cape of Good Hope), says: “Once 122 daily benefits have been cred­ited to em­ploy­ees’ BIBC record, or af­ter em­ploy­ees have been in con­tin­u­ous em­ploy­ment for six months, they are au­to­mat­i­cally up­graded to Labourer L2 level.”

The cat­e­gory was cre­ated to in­tro­duce a level of em­ploy­ment that in­cludes the ben­e­fit of a re­tire­ment fund at a higher rate of pay than the old en­try level Labourer cat­e­gory, which is now re­ferred to as Labourer L1, but is lower than the Gen­eral Worker cat­e­gory.

“Pre­vi­ously labour­ers would be up­graded to gen­eral worker af­ter a year in the in­dus­try, but the wage gap was quite sig­nif­i­cant and this placed strain on em­ploy­ers’ wage bills. The labourer cat­e­gory did not re­ceive any con­tri­bu­tion to re­tire­ment funds, whereas gen­eral work­ers did. L2 has been in­tro­duced to nar­row the wage gap be­tween the en­try level wage and the next cat­e­gory wage, while en­sur­ing that labour­ers who fall within the new cat­e­gory still re­ceive the ben­e­fit of re­tire­ment funds.”

The time frame for up­grad­ing has been re­duced to six months. A phased-in ap­proach will be used to im­ple­ment the change. It is hoped that this will en­cour­age in­creased em­ploy­ment op­por­tu­ni­ties and ease the wage bur­den for em­ploy­ers.

“Should em­ploy­ees not have the re­quired benefits to be up­graded, due to non-com­pli­ance by their em­ploy­ers, the six months rule will be ap­plied and em­ploy­ees will be reg­is­tered as Labourer L2. To im­ple­ment this up­grade em­ploy­ees must prove they have had six months’ con­tin­u­ous em­ploy­ment in the build­ing in­dus­try. The cleaner cat­e­gory has fallen away and em­ploy­ees re­ceiv­ing cleaner benefits will now re­ceive labourer L2 wages and benefits.

“Up­grad­ing from labourer L2 to gen­eral worker is no longer au­to­matic and em­ploy­ers will up­grade em­ploy­ees to gen­eral worker once they have reached ac­cept­able skill lev­els.”

● For fur­ther in­for­ma­tion see www. bibc. co. za or call 021 950 7400.

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