Business Chapter 9: Notes
Constitution:
- Democracy - ruled by people
- Private citizens and businesses fall under constitution
- Introduction suffrage - right to vote
- Constitution is supreme law
- PDI - previously disadvantaged individual
● 3 areas of the constitution that affect businesses in SA
1. Human rights
2. Inclusivity
3. Environmental issues
1. Human Rights
The bill of rights - very detailed and specific rights and responsibilities of all citizens
- No right comes without responsibility
- Constitution and laws protect citizens - you have the right to uphold laws
Human dignity is the most important human right
Other rights - equality, freedom of expression, political and property rights, housing, healthcare,
education, children's rights, women's rights …
PDI was excluded prior to 1994
Limitation clause - necessary to limit these rights eg: i have freedom of expression but cannot threaten
others
2. Inclusivity
- Basic right of constitution
- Have equal opportunities
1
, - No discrimination
- SDA = law needed to redress problems of the pass = aimed at trying to provide training, improve
skills - no discrimination
- To allow all races, people with disabilities and medical conditions to get given the same
opportunities
- Racial integration at schools is important - focus on disabled learners to attend ,mainstream
schools/ workplace
3. Environmental issues
- Environment is in need of protection
- Increased technology, growing populations and urbanisation = increasing strain on natural
resources
- SDG = United nations sustainable development goals = used to achieve a better and more
sustainable future for all
- They address global changes ( poverty, inequality, climate change and environmental degradation,
peace and justice)
- Not addressed by one country
- World Economic Forum in Switzerland - global compact was introduced with the aim of
promoting sustainable globalisation by addressing human rights, labour and the environment.
Labour Relations Act
LRA - based on constitution
Provides a legal framework for south african labour system
Purpose - 1. to enforce fundamental rights as granted by constitution
2. To enforce sa’s international obligations as member of international labour organisation
3. To provide framework for collective bargaining between trade unions and employees
4. To promote effective resolution of labour disputes through employee participation and decision
making
- Contains basic rules to control communication, bargaining and negotiation between the employee
and the employer
2
, - Applies to every employer and employee except the national defence force, national intelligence
agency and south african secret service
Act covers issues - freedom of association ( can join trade union of choice), trade unions, strikes,
lockouts, collective bargaining, disputes, unfair labour practice, unfair dismissal
Basics of LRA is found on common law contracts of employment
Collective agreements are negotiated between employers and trade unions
LRA governs and regulates the process of collective bargaining
Constitution guarantees certain rights to employees and employers
- Right to strike, right to engage in collective bargubgung
Functions of Trade unions and employer organizations
Trade union - any number of employees in particular industries or occupations associated together to
negotiate together for the purpose of regulations between themselves and employers.
Employer organisations - enables employers to work together to negotiate with trade unions in specific
industry (mines)
SA constitution guarantees principle of freedom of association - employees right to join trade union/
employers organisation of choice
Trade unions and employer organisations should always be registered
Meet requirements before registration ( proper constitution, consistent weight LRA, not formed to invade
any law)
Registration gives more rights - can be part of bargaining or statutory council - wages and salaries are
negotiated
● Defence force do not join trade unions
Employer cannot make condition that employee cannot be apart of trade union
Trade union membership fees will be deducted from salary and paid over to union
Member may image and hold meetings in workplace
3
Constitution:
- Democracy - ruled by people
- Private citizens and businesses fall under constitution
- Introduction suffrage - right to vote
- Constitution is supreme law
- PDI - previously disadvantaged individual
● 3 areas of the constitution that affect businesses in SA
1. Human rights
2. Inclusivity
3. Environmental issues
1. Human Rights
The bill of rights - very detailed and specific rights and responsibilities of all citizens
- No right comes without responsibility
- Constitution and laws protect citizens - you have the right to uphold laws
Human dignity is the most important human right
Other rights - equality, freedom of expression, political and property rights, housing, healthcare,
education, children's rights, women's rights …
PDI was excluded prior to 1994
Limitation clause - necessary to limit these rights eg: i have freedom of expression but cannot threaten
others
2. Inclusivity
- Basic right of constitution
- Have equal opportunities
1
, - No discrimination
- SDA = law needed to redress problems of the pass = aimed at trying to provide training, improve
skills - no discrimination
- To allow all races, people with disabilities and medical conditions to get given the same
opportunities
- Racial integration at schools is important - focus on disabled learners to attend ,mainstream
schools/ workplace
3. Environmental issues
- Environment is in need of protection
- Increased technology, growing populations and urbanisation = increasing strain on natural
resources
- SDG = United nations sustainable development goals = used to achieve a better and more
sustainable future for all
- They address global changes ( poverty, inequality, climate change and environmental degradation,
peace and justice)
- Not addressed by one country
- World Economic Forum in Switzerland - global compact was introduced with the aim of
promoting sustainable globalisation by addressing human rights, labour and the environment.
Labour Relations Act
LRA - based on constitution
Provides a legal framework for south african labour system
Purpose - 1. to enforce fundamental rights as granted by constitution
2. To enforce sa’s international obligations as member of international labour organisation
3. To provide framework for collective bargaining between trade unions and employees
4. To promote effective resolution of labour disputes through employee participation and decision
making
- Contains basic rules to control communication, bargaining and negotiation between the employee
and the employer
2
, - Applies to every employer and employee except the national defence force, national intelligence
agency and south african secret service
Act covers issues - freedom of association ( can join trade union of choice), trade unions, strikes,
lockouts, collective bargaining, disputes, unfair labour practice, unfair dismissal
Basics of LRA is found on common law contracts of employment
Collective agreements are negotiated between employers and trade unions
LRA governs and regulates the process of collective bargaining
Constitution guarantees certain rights to employees and employers
- Right to strike, right to engage in collective bargubgung
Functions of Trade unions and employer organizations
Trade union - any number of employees in particular industries or occupations associated together to
negotiate together for the purpose of regulations between themselves and employers.
Employer organisations - enables employers to work together to negotiate with trade unions in specific
industry (mines)
SA constitution guarantees principle of freedom of association - employees right to join trade union/
employers organisation of choice
Trade unions and employer organisations should always be registered
Meet requirements before registration ( proper constitution, consistent weight LRA, not formed to invade
any law)
Registration gives more rights - can be part of bargaining or statutory council - wages and salaries are
negotiated
● Defence force do not join trade unions
Employer cannot make condition that employee cannot be apart of trade union
Trade union membership fees will be deducted from salary and paid over to union
Member may image and hold meetings in workplace
3
