Not too long ago there was a report in the media regarding textile workers in KZN, who, it seemed, were prepared to work for less than minimum wage - on the eminently sensible grounds that it's better to have a job on a lower salary than no job at all. Agreed, no one in their right mind wants to see labour exploited, but one sometimes wonders if the unions (and the government, for that matter) really think things through when it comes to their wage demands, and minimum wages, respectively. Today we carry a report on PnP - and the fact that there appears to be a new resolve on the part of management to make the company leaner and more efficient in the future; as it stands, its wage bill places it at a disadvantage with regard to its competitiveness. The company is also looking at improving productivity - a quality in which many in and out of business believe South African labour falls short. The bottom line is that if labour costs continually rise without a commensurate rise in productivity, a company will either go to the wall, or it will reduce its labour force - through retrenchments, layoffs and natural attrition, or a combination thereof - and either way will mean more workers losing their jobs, and more unemployed in SA. We'd all love to make more money, but surely not at the risk of losing our jobs - is there not a middle path?

Rod Baker, General Manager: Content
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