Construction World May 2023

does not pay monies back within 14 days, the matter is referred to arbitration,” Fourie says. “Once the BCCEI has an arbitration award, and the company still doesn't comply, a sheriff can attach property to settle the unpaid monies.” Implicit footprint Fourie says that it is the BCCEI’s intention to have the civil industry grow and not be a like a policeman with a baton. “In the same breath, it has a legal obligation to ensure compliance to collective agreements. The BCCEI, in addition to its headquarters in Johannesburg, has offices in five regions across the country. “We're in the process of expanding on that footprint. We have got designated agents, covering the entire South Africa, who engage with – especially - the public sector such as municipalities. Those companies not registered with the BCCEI do not do so because they are unaware of it, they do so because they do not want to be registered so they can save on levies and cut corners around payments to labourers. By doing so they not only jeopardise themselves, but also their employees and clients,” Fourie concludes. 

using compliant contractors. Clients can stipulate in the tender requirements that potential contractors must be in Good Standing with the BCCEI. This means that when we issue a letter of Good Standing, we are telling the client that the contractor that will be used on a client’s project, has no open compliance issues such as underpaying employees and that its levies to the BCCEI are up to date. This letter is extra security for the client as the risks of using non-compliant companies on projects can be disastrous,” Fourie says. Risks for being non-compliant – either a contractor or client “If it becomes known that a contractor is underpaying its employees, then it is almost a given that tools will be downed on that project. This subordinate legislation governing wages has been published by the Minister of Employment and Labour and is merely a voluntary arrangement. Companies that are non-compliant in not paying the employees what they should are probably also non-compliant with regard to health and safety,” continues Fourie. BCCEI agents can issue a compliance order to non-compliant contractors which instructs them to comply with the conditions

and provisions of collective agreements. “It also has financial implications. Agents can do an assessment retrospectively of up to three years. If for instance a person has been working on a project for three years where they have been underpaid, the agent will do an assessment and will issue an order to an offending contractor to pay it back, back dated. The same can be done for unpaid levies. If a contractor

“If it becomes known that a contractor is underpaying its employees, then it is almost a given that tools will be downed on that project."

13 CONSTRUCTION WORLD MAY 2023

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