The Director-General of the Department of Trade and Industry (the dti), Mr Lionel October said labour laws will not be relaxed in the new arrangements for accelerating industrial development through Special Economic Zones (SEZ). He was addressing organised labour at the Special Economic Zones Bill public hearings held by the department in Pretoria, yesterday.
“Government needs full support from organised labour and business for the proposed special economic zones to work effectively. It is not in our best interest to deregulate labour laws in order to attract Foreign Direct Investment (FDI) and therefore exploit our workers,” said October
He also said government needs a regulated labour market to remain competitive and raise living standards for workers.
“The model of special economic zones that the government is pursuing shifts away from competing on the basis of cheap labour to competing on the basis of the quality of services and support measures provided in the zones and their host regions. Our challenge is therefore to develop a comprehensive package of support measures that will be adequate to attract desired investments but also assist the country to master the desired industrial capabilities”, said October.
The purpose of the public hearings is to give members of the public, organised labour and business an opportunity to express their views on the Special Economic Zones Bill and Policy.
The main aim of SEZ bill and policy is to support the acceleration of industrial development in order to promote growth and creation of sustainable and decent jobs and also to promote the creation of a regionally diverse industrial economy through the creation of new industrial hubs in under development regions.
The SEZs can be utilised to create a sustainable environment for foreign and domestic direct investment and build targeted industries aimed at developing strategic industrial capabilities and industrial regions.
The purpose of the Bill, which was gazetted by the Minister of Trade and Industry, Dr Rob Davies last month, is to provide for an effective mechanism for the development, operation and management of special economic zones in order to promote accelerated industrial development and industrial decentralisation.
Enquiries:
Sidwell Medupe
Departmental Spokesperson
Cell: 079 492 1774
Tel: 012 394 1650
E-mail: MSMedupe@thedti.gov.za
