Employment and Labour busts sweat shop employing undocumented foreign nationals

Another sweat shop employing undocumented foreign nationals busted in operation led by Department of Employment and Labour 

Another sweat shop where workers are alleged to have been locked in the factory upwards of 21 days at a go has been busted.

This is the second Chinese sweat shop that has been busted in Gauteng with the first the owners of the first bust in 2019 now towards the end of trial in which they are accused of employing undocumented foreign nationals, using child labour, breaking of a multitude of labour laws as well as human trafficking.

In the latest joint multi-departmental bust, an employer and his seven workers were arrested in Randburg, Gauteng Province on Friday in a joint operation led by the Department of Employment and Labour in a partnership with the SAPS’s Directorate for Priority Crime Investigation (Hawks) and Home Affairs. This followed a tip-off.

Eric Shao, who is the owner of Sock Works, which was found by the Inspection and Enforcement Services to be in breach of many laws was arrested together with his fellow workers. They are due to appear at the Randburg Magistrate’s Court on Monday (22 November) and will be charged with violating South Africa’s Immigration Act and various labour laws.

It is a crime to employ undocumented foreign national and one of the possible charges is carrying forged documents and permits. The labour laws included violation of the Compensation for Occupational Injuries and Diseases Act (COIDA), the Unemployment Insurance Act, National Minimum Wage (NMW) among others.  In addition, workers are alleged to be working excessive working hours, have no contracts, are paid below the NMW, are sleeping in the factory building, males and females share ablution facilities.

The Department’s inspectors, accompanied by Hawks and Home Affairs officials staged an inspection at the company’s premises which is at 8 Meadow Brooklane Business Estate in Randburg.

During the two-and-a-half-hour operation, the owner is reported to have not been co-operative. He is alleged to have been carrying a loudspeaker and communicating with his lawyers via cellphone. Furthermore, he was obstructing the work of inspectors by refusing to answer questions fully, a conduct that is forbidden and punishable by law.

Chris Msibi, an inspector with department’s IES’ Statutory Service Unit said: “The outcome of the blitz inspection proves that when enforcement agencies work together, we are able to combat illegal activity in the country, protect workers, and strengthen compliance with employment laws in SA,” Msibi said.

The Gauteng Provincial Chief Inspector, Advocate Michael Msiza said the employer has been referred to the Magistrates Court for additional of criminal charges for failing to comply with the employment laws from the date the business commenced its operations to date.  He said should the employer also fail to comply with the enforcement notices issued, the employer will be referred to the Magistrates Court for criminal action and the Commission for Conciliation Mediation and Arbitration for civil action.

“We are putting all violators of employment laws on notice. We are coming for you! We will not tolerate pre-Covid-19 challenges where employers continually violated labour laws with impunity and also continue with the employment of undocumented persons. This is just a start as we will be intensifying our joint inspections into many of troublesome sectors over the next few weeks,” Msiza said.

The company is alleged to be employing 23 workers. It was registered in the country in 2015. In October 2021 Sock Works moved into the new premises where the inspection was conducted.

The workers are employed and operate knitting machines, as stock packers and truck drivers. Following the arrest of the seven workers the other workers are said to have been off-duty. Of the 23 workers only two are said to be South Africans and the rest are from Mozambique and Zimbabwe.  Sock Works manufactures socks and allegedly supplied major retailers such Truworths, Markham, Foschini, Exact and Totalsports. 

Enquiries:
Musa Zondi
Cell: 067 426 4190
E-mail: musa.zondi@labour.gov.za

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