Khuluma Ukhululeke - Business Strategy & Leadership Talk show.
Sep 30, 2026 · 30 min · 10 segments
In a landmark decision, NUMSA (National Union of Metalworkers of South Africa) has achieved a significant victory for workers at PUTCO, transitioning 343 employees from precarious contract positions…
Now, you know, with South Africa's unemployment rate sitting at 33.6%, and, you know, a company like Partco, for example, that has been in South Africa for many, many years.
You know, I remember my father used to drive Partco buses in Devon back in the 80s.
One would imagine that they would be at the forefront of making sure that a country that has given to them, like South Africa, they can also give back to the human capital of this country.
What do you find becomes core reasons for such big companies like your part cause to lose loyalty towards the human capital of such as their staff? Why do they tend to make it stall for so long that they don't convert their workers to permanent so that their workers can enjoy these fair minimum benefits?
Look, like I said, Patco keep on saying they are still at the local head with the government.
in a monthly basis or in a yearly basis so that the number of buses that operate can increase.
We want to give them permanent contract, but the challenge is that government is not approving our um application to add more passes in line with the sma contract signed with government so so that was the main issue and with the patco if everyone permanent contract we know that in the event that government will give you problems and you realize that you have got overstaffed The Labor Relations Act gives you powers or provision to invoke Section 189 in terms of structuring so that you can reduce the number of complement if you realize that you can't take it anymore.
We said you don't have to punish these workers, if they're permanent workers, so that if you realize that your issues with government is not coming okay, you can serve us with a letter of retrenchment.
The law does allow you to reduce the staff compliment if you have good offer staff.
And we still maintain that ADCO, we believe that it used to be one of the best bus operators in the country.
And looking at the morality, you know, of this whole issue, how does high unemployment concretely weaken the workers' bargaining power in public transport? And what counter strategies could stop employers from weaponizing job scarcity?
Now, you know, with South Africa's unemployment rate sitting at 33.6%, and, you know, a company like Partco, for example, that has been in South Africa for many, many years.
You know, I remember my father used to drive Partco buses in Devon back in the 80s.
One would imagine that they would be at the forefront of making sure that a country that has given to them, like South Africa, they can also give back to the human capital of this country.
What do you find becomes core reasons for such big companies like your part cause to lose loyalty towards the human capital of such as their staff? Why do they tend to make it stall for so long that they don't convert their workers to permanent so that their workers can enjoy these fair minimum benefits?
Look, like I said, Patco keep on saying they are still at the local head with the government.
in a monthly basis or in a yearly basis so that the number of buses that operate can increase.
We want to give them permanent contract, but the challenge is that government is not approving our um application to add more passes in line with the sma contract signed with government so so that was the main issue and with the patco if everyone permanent contract we know that in the event that government will give you problems and you realize that you have got overstaffed The Labor Relations Act gives you powers or provision to invoke Section 189 in terms of structuring so that you can reduce the number of complement if you realize that you can't take it anymore.
We said you don't have to punish these workers, if they're permanent workers, so that if you realize that your issues with government is not coming okay, you can serve us with a letter of retrenchment.
The law does allow you to reduce the staff compliment if you have good offer staff.
And we still maintain that ADCO, we believe that it used to be one of the best bus operators in the country.
And looking at the morality, you know, of this whole issue, how does high unemployment concretely weaken the workers' bargaining power in public transport? And what counter strategies could stop employers from weaponizing job scarcity?
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