Agri split on Draft Employment Equity Regulations

The deadline for comments on the government’s new Draft Employment Equity Regulations is looming and so far, the feelings within the agricultural sector are pretty divided

South Africa’s agricultural sector holds mixed feelings over the government’s new Draft Employment Equity Regulations. As the clock ticks on members of the public to comment on the draft regulations, some members in agriculture are worried that, if passed, it could spell trouble for the sector.

Members of the public have until Monday, 12 June 2023, to comment on the Draft Employment Equity (EE) Regulations 2023 on the proposed set of sector EE targets.

According to the new sectoral targets, the government want to see 20% of black men in top management in the agricultural sector, with 15% being women. The amendments also seek to achieve a 4.5% target of white men being in top management and 3.5% being white women.

Organised agriculture has since reacted strongly against the draft employment equity amendment.

Targets are biased

Annelize Crosby, head of legal intelligence at the Agricultural Business Chamber (Agbiz), said to judge the agricultural sector’s efforts of transformation solely on employment equity would be misleading.

“The sector has invested heavily into transformation through employee ownership schemes, farmer development and support, training and skills development as well as employment equity.

“In our research, a clear narrative came through to the effect that investment in skills development and training is yielding fruit as the percentage of technically skilled employees and mid-range supervisors have increased dramatically over the past few years,” she said.

‘It will take time’

According to Crosby, it will take time for these skilled persons to reach top management positions. It will also take time for new, black-owned, and controlled enterprises to grow to the level where they report on employment equity.

“Unfortunately, the targets are biased towards top and senior management which is not reflective of the efforts undertaken by the sector to promote inclusivity,” she added.

Good news, but…

Phaladi Matsole, a maize farmer in Free State with 23 full-time employees and seasonal workers, said he is positive about the draft bill.

“The bill seeks to address the imbalances of the past and reassure the employees to have a sense of belonging and being part of the whole value chain as employees. This, despite their race, age, gender, health, or disability,” he said.

However, Matsole said the government had a lot of work to do to ensure that the country does not find itself with food shedding because of an inability to deal with critical economic threatening factors.

“The production of food and agro-processing depends entirely on electricity. I am calling upon the government to allow the current independent power producers to kick off the ground.

“I think it is about time government gives load shedding exemption to industries producing food. If not, we are slowly going towards a collapse of food production in the country,” he said.

Power cuts and roads should be prioritised

Free State Agriculture (FSA) chief executive officer Gernie Botha said power cuts and dilapidated roads across the country should be top of the agenda for government.

“Certain problems relating to the power utility can be addressed if the government puts politics aside and focus on the problem at hand.

“The country needs a conducive environment in which the economy flourishes. Forcing unrealistic numerical targets on the private sector seems to be the government’s way to recreate the track record of the state-owned entities which is monumental in what should not happen,” Botha said.

FSA is concerned about the draft regulations as the introduction of numerical targets spells trouble

“Prior consultation and discussion of the respective targets would have assisted in the current process, whether the inputs as received during the public comment period will be fully considered remains an open question,” Botha added.