NBC to rule fate of 22,000 textile workers

05 Oct '10

2 min read

The producers and the National Bargaining Council (NBC) for the clothing manufacturing and garment knitting industry are convening a meeting, to decide on wage entitlement of 22,000 workers in the industry.

The meeting is being conducted to determine if, the Bargaining Council will initiate legal proceedings against the 385 clothing units in the country which have been charged with allegations of not meeting with the minimum wage standards, or would decide on structuring a new wage model for the sector.

However, the chances of working out alternative solutions for the sector which has been cutting down on jobs for a number of years, as it is faced with many problems, cannot be discarded. The issues concerning the industry include the ones of smuggling of cheaper goods from Far Eastern countries and India, soaring prices of the material and sluggish demand in domestic markets.

The meeting came up after a 30-day freezing period, when no factories were allowed to pull down their shutters. The need to grant such freezing period came up as, around 120 units in the Newcastle area closed down in sympathy, when NBC attempted to the close two of the firms in the area.

In order to solve the issues, the departments of labour and trade and industry, several provincial governments, the Congress of South African Trade Unions (Cosatu) and employer representatives, met to carry out discussions during the freezing period.

NBC has already summoned 88 clothing and knitting firms in Newcastle area for non-compliance of its standards.

Fibre2fashion News Desk - India