Easing labour burden

Recent sweeping changes to
the Labour Relations Act have
forced warehouses to come up
with smarter ways of dealing
with outsourced labour or TES
companies, according to general
manager of Outsourced Project
Solutions, Tyron Hubbart.
“The amendments to the
LRA mean that after three
months of work a TES employee
effectively is deemed to be a
permanent employee in terms
of the LRA.”
OPS, he said, was not a
TES company, but a project
management company.
“Of course, by outsourcing
their labour intensive activities
as a project on a fixed rate,
the warehouses are effectively
hiring a contractor to handle a
portion of their business. The
warehouses no longer have to
concern themselves with the
burdens created by the LRA
relating to the TES company,
since they are no longer hiring
labour, but are outsourcing an
activity as a project.”