HRM3701 Assignment
3 (COMPLETE
ANSWERS) Semester
1 2026 - DUE 14 April
[Pick the date]
,Exam (elaborations)
HRM3701 Assignment 3 (COMPLETE
ANSWERS) Semester 1 2026 - DUE 14 April
Pumeza Nkosi is the owner of a small laundry business, Clean & Fresh
Laundry Services, which has been operating out of Khayelitsha for 15 years.
Clean & Fresh Laundry Services employs 20 workers in different capacities,
from loading and operating the washing machines and tumble driers, sorting
clothes, helping customers, ironing and delivering clean washing back to the
customers. She believes that because the company is very small, they do not
require a HR department. She usually contacts friends that are involved in
HR whenever the need arises, and they then inform her on the “legal” way of
doing things. Robert Mbeki, one of the managers, approaches Pumeza one
Monday to inform him that the staff members are threatening to strike due
to (1) insufficient salaries, and (2) no benefits. Others are threatening to
resign as they have been employed for 10 years or more and have nothing
to show for their hard work and commitment to the organisation – not even
some support or recognition from Pumeza. They feel that they have never
had any opportunities for career development or advancement and are
threatening to look for work elsewhere. To successfully answer this question,
you need to: identify the employee relations issues in the case (1 mark).
Refer to the appropriate labour legislative acts (2 marks). Evaluate any
alignment or misalignment with the acts identified (1 marks). Suggest
mechanisms that will assist in institutionalising sound employee relations
and compliance (1 mark). Robert also indicates to Pumeza that one of the
workers has found out that Keep it Clean Laundry in the city centre offers
their employees more benefits and more vacation time to spend with their
families, and that they go on teambuilding initiatives, get regular training
which gives them more opportunities for career development and, to top it
all, they also earn larger salaries and work fewer hours than the workers at
Clean & Fresh Laundry
Question 1: Employee Relations and Labour Legislation
Using the Clean & Fresh Laundry Services case study:
1. Identify the key employee relations issues evident in the organisation.
2. Refer to the relevant South African labour legislation applicable to these issues.
3. Evaluate whether the organisation’s current practices are aligned or misaligned with
these legislative requirements.
4. Recommend mechanisms or interventions that can help institutionalise sound employee
relations and ensure legal compliance.
,Question 1: Employee Relations and Labour Legislation
Clean & Fresh Laundry Services Case Study
1. Identification of Key Employee Relations Issues
The case study reveals several critical employee relations issues within Clean & Fresh Laundry
Services:
Firstly, there is dissatisfaction with wages and lack of benefits. Employees are threatening to
strike due to insufficient salaries and the absence of employment benefits, indicating perceived
unfair compensation.
Secondly, there is a lack of recognition and reward systems. Long-serving employees (10+
years) feel undervalued, as they have not received acknowledgment or incentives for their loyalty
and contribution.
Thirdly, the organisation demonstrates poor career development and advancement
opportunities. Employees report no access to training, promotion pathways, or skills
development, which contributes to frustration and intentions to resign.
Fourthly, there is an evident absence of formal HR structures and policies. The owner relies
on informal advice from friends instead of structured HR practices, leading to inconsistent and
potentially non-compliant decision-making.
Fifthly, there is low employee morale and potential industrial action. The threat of strikes and
resignations reflects deteriorating labour relations and a breakdown in communication between
management and employees.
Lastly, external inequity and comparison with competitors (Keep it Clean Laundry) has
intensified dissatisfaction, as employees perceive better working conditions elsewhere.
2. Relevant South African Labour Legislation
Several key legislative frameworks govern the issues identified:
The Labour Relations Act 66 of 1995 (LRA)
Regulates fair labour practices, dispute resolution, and the right to strike. It ensures that
employees can engage in collective bargaining and protected industrial action.
, The Basic Conditions of Employment Act 75 of 1997 (BCEA)
Establishes minimum employment standards, including working hours, leave,
remuneration, and conditions of service.
The Employment Equity Act 55 of 1998 (EEA)
Promotes fairness and equal opportunity in the workplace, including access to training
and advancement.
The Skills Development Act 97 of 1998 (SDA)
Encourages employee training and development to improve skills and employability.
The Occupational Health and Safety Act 85 of 1993 (OHSA)
Ensures safe and healthy working conditions, which is particularly relevant in a labour-
intensive environment like a laundry business.
3. Evaluation of Alignment or Misalignment
The practices at Clean & Fresh Laundry Services are largely misaligned with the above
legislative frameworks.
In relation to the Labour Relations Act, the organisation risks non-compliance by failing to
engage proactively with employee grievances. The threat of a strike indicates a breakdown in
collective engagement and dispute resolution mechanisms.
Regarding the Basic Conditions of Employment Act, while it is not explicitly stated that
minimum standards are violated, the dissatisfaction with wages and working conditions suggests
that employees may feel that their remuneration is not fair or competitive, which could lead to
disputes.
The organisation is clearly misaligned with the Employment Equity Act and Skills
Development Act, as there are no structured opportunities for training, development, or career
advancement. This reflects a failure to promote equal opportunities and employee growth.
Additionally, the absence of formal HR policies and systems suggests weak compliance
structures overall, increasing the risk of unfair labour practices and legal disputes.
4. Recommended Mechanisms and Interventions
To institutionalise sound employee relations and ensure compliance, Clean & Fresh Laundry
Services should implement the following:
a) Establish a basic HR function or system
Even as a small business, the organisation should develop formal HR policies covering
recruitment, remuneration, performance management, and employee relations. This could
include appointing an HR consultant or part-time HR practitioner.
3 (COMPLETE
ANSWERS) Semester
1 2026 - DUE 14 April
[Pick the date]
,Exam (elaborations)
HRM3701 Assignment 3 (COMPLETE
ANSWERS) Semester 1 2026 - DUE 14 April
Pumeza Nkosi is the owner of a small laundry business, Clean & Fresh
Laundry Services, which has been operating out of Khayelitsha for 15 years.
Clean & Fresh Laundry Services employs 20 workers in different capacities,
from loading and operating the washing machines and tumble driers, sorting
clothes, helping customers, ironing and delivering clean washing back to the
customers. She believes that because the company is very small, they do not
require a HR department. She usually contacts friends that are involved in
HR whenever the need arises, and they then inform her on the “legal” way of
doing things. Robert Mbeki, one of the managers, approaches Pumeza one
Monday to inform him that the staff members are threatening to strike due
to (1) insufficient salaries, and (2) no benefits. Others are threatening to
resign as they have been employed for 10 years or more and have nothing
to show for their hard work and commitment to the organisation – not even
some support or recognition from Pumeza. They feel that they have never
had any opportunities for career development or advancement and are
threatening to look for work elsewhere. To successfully answer this question,
you need to: identify the employee relations issues in the case (1 mark).
Refer to the appropriate labour legislative acts (2 marks). Evaluate any
alignment or misalignment with the acts identified (1 marks). Suggest
mechanisms that will assist in institutionalising sound employee relations
and compliance (1 mark). Robert also indicates to Pumeza that one of the
workers has found out that Keep it Clean Laundry in the city centre offers
their employees more benefits and more vacation time to spend with their
families, and that they go on teambuilding initiatives, get regular training
which gives them more opportunities for career development and, to top it
all, they also earn larger salaries and work fewer hours than the workers at
Clean & Fresh Laundry
Question 1: Employee Relations and Labour Legislation
Using the Clean & Fresh Laundry Services case study:
1. Identify the key employee relations issues evident in the organisation.
2. Refer to the relevant South African labour legislation applicable to these issues.
3. Evaluate whether the organisation’s current practices are aligned or misaligned with
these legislative requirements.
4. Recommend mechanisms or interventions that can help institutionalise sound employee
relations and ensure legal compliance.
,Question 1: Employee Relations and Labour Legislation
Clean & Fresh Laundry Services Case Study
1. Identification of Key Employee Relations Issues
The case study reveals several critical employee relations issues within Clean & Fresh Laundry
Services:
Firstly, there is dissatisfaction with wages and lack of benefits. Employees are threatening to
strike due to insufficient salaries and the absence of employment benefits, indicating perceived
unfair compensation.
Secondly, there is a lack of recognition and reward systems. Long-serving employees (10+
years) feel undervalued, as they have not received acknowledgment or incentives for their loyalty
and contribution.
Thirdly, the organisation demonstrates poor career development and advancement
opportunities. Employees report no access to training, promotion pathways, or skills
development, which contributes to frustration and intentions to resign.
Fourthly, there is an evident absence of formal HR structures and policies. The owner relies
on informal advice from friends instead of structured HR practices, leading to inconsistent and
potentially non-compliant decision-making.
Fifthly, there is low employee morale and potential industrial action. The threat of strikes and
resignations reflects deteriorating labour relations and a breakdown in communication between
management and employees.
Lastly, external inequity and comparison with competitors (Keep it Clean Laundry) has
intensified dissatisfaction, as employees perceive better working conditions elsewhere.
2. Relevant South African Labour Legislation
Several key legislative frameworks govern the issues identified:
The Labour Relations Act 66 of 1995 (LRA)
Regulates fair labour practices, dispute resolution, and the right to strike. It ensures that
employees can engage in collective bargaining and protected industrial action.
, The Basic Conditions of Employment Act 75 of 1997 (BCEA)
Establishes minimum employment standards, including working hours, leave,
remuneration, and conditions of service.
The Employment Equity Act 55 of 1998 (EEA)
Promotes fairness and equal opportunity in the workplace, including access to training
and advancement.
The Skills Development Act 97 of 1998 (SDA)
Encourages employee training and development to improve skills and employability.
The Occupational Health and Safety Act 85 of 1993 (OHSA)
Ensures safe and healthy working conditions, which is particularly relevant in a labour-
intensive environment like a laundry business.
3. Evaluation of Alignment or Misalignment
The practices at Clean & Fresh Laundry Services are largely misaligned with the above
legislative frameworks.
In relation to the Labour Relations Act, the organisation risks non-compliance by failing to
engage proactively with employee grievances. The threat of a strike indicates a breakdown in
collective engagement and dispute resolution mechanisms.
Regarding the Basic Conditions of Employment Act, while it is not explicitly stated that
minimum standards are violated, the dissatisfaction with wages and working conditions suggests
that employees may feel that their remuneration is not fair or competitive, which could lead to
disputes.
The organisation is clearly misaligned with the Employment Equity Act and Skills
Development Act, as there are no structured opportunities for training, development, or career
advancement. This reflects a failure to promote equal opportunities and employee growth.
Additionally, the absence of formal HR policies and systems suggests weak compliance
structures overall, increasing the risk of unfair labour practices and legal disputes.
4. Recommended Mechanisms and Interventions
To institutionalise sound employee relations and ensure compliance, Clean & Fresh Laundry
Services should implement the following:
a) Establish a basic HR function or system
Even as a small business, the organisation should develop formal HR policies covering
recruitment, remuneration, performance management, and employee relations. This could
include appointing an HR consultant or part-time HR practitioner.
