Can Equality Finally Thrive In SA Now That Hiring Based On Race Alone Is No Longer Allowed?

The landmark settlement agreement reached last year between trade union Solidarity and the ANC-led government is set to significantly alter South Africa's Employment Equity Act by stopping employers from using race as a primary determining factor in recruitment practices.

This crucial agreement, reached through collaborative discussions, is a watershed moment in the country's approach to employment equity, which for years has become increasingly focused solely on race rather than on skills and competence. 

While there is certainly a need to redress the inequalities of South Africa’s racist past, fighting racism with more racism is not the solution.

The agreement, signed by Solidarity's chairperson in Pretoria on June 28 last year, includes critical measures aimed at creating a more equitable and inclusive workforce that seeks to put the functional needs of businesses ahead of political demands. 

It’s a matter of priorities. South Africa’s economy is flailing, and businesses are struggling to survive amid load shedding, high labour costs, rampant crime and corruption, and global pressures such as high oil prices and skyrocketing inflation. 

South African businesses now, more than ever, need to survive, which means having the freedom to employ the right skills rather than the right race or gender is arguably more important. Insofar as individual citizens are concerned, it would be inhumane and in contravention of basic human rights as enshrined by the UN’s International Convention on the Elimination of All Forms of Racial Discrimination to fire them because they don’t check the right identity boxes.

Therefore, it’s good news that the new agreement between Solidarity and the government prohibits businesses from terminating employment relationships based solely on affirmative action mandates. It also requires that race not be the primary determining factor in employment or promotion decisions. 

Affirmative action, while important for redressing past inequalities, must align with constitutional principles and should be viewed as a temporary measure. This means that it cannot go on forever. At some point, affirmative action implementation needs to come to an end. When that end will be, it is not clear. But one has to ask: how many decades does it take to turn a country around? 

For South Africa, it's been more than 20 years since Apartheid ended, and yet, the economy is just as bad, if not worse, than it ever was, arguably because we have been too preoccupied with racial ideologies and not enough with doing what needs to be done to support business growth and investment.

This agreement, however, is one of several hopeful developments in recent years that show that maybe South Africa is finally starting to get its head in the game. Maybe this is a sign of a new South Africa emerging that is truly unified in a single minded vision to restore the economy and grow it for all rather than argue endlessly about who should get the spoils.

It’s a pivotal moment that sees Solidarity withdrawing its Constitutional Court appeal against the Employment Equity Amendment Act and it’s arguably unconstitutional regulations.

Solidarity leader Flip Buys stressed the need for a holistic strategy that goes beyond race, advocating for a highly skilled, productive, and fairly compensated workforce. Not only would this be critical for giving everyone a fair shot at getting employed, but it would be more beneficial to stimulating the economy, because the right people in the right jobs tend to lead to better-functioning businesses, which results in economic growth.

It also does wonders for investor confidence.

Surprisingly, Employment and Labour Minister TW Nxesi showed support for Buys’ sentiments, describing the agreement as the pinnacle of social discourse and employment justice. This is the same Minister who accused Solidarity members last year of being among “those who benefited most from racial privilege under apartheid," yet “are the first to accuse others of racial quotas.”

Amidst the good news of this groundbreaking development, the government has also made revisions to proposed new employment equity targets. 

Notably, specific targets for African, coloured, Indian, and white workers have been abolished. This is further proof that there might be hope for a colourblind future in South Africa after all. 

Last year, new legislation empowered the Department of Labour to set transformation targets for various industries, which came under severe scrutiny for potential job losses and concerns that it was unconstitutional.

Redressing past inequalities through transformation targets is good and noble in its intent. However, in its eagerness to get the job done as quickly as possible, the ANC government has come close to being as discriminatory as its NP predecessors. Thankfully, the rule of law and the constitution prevent them from crossing that line.

Therefore, following a prescribed public consultation process, new proposed targets were thankfully published, eliminating the distinction between provincial and national targets to industry targets and consolidating various individual racial targets under "designated groups," as defined in the Employment Equity Act.

It is important to note, however, that companies failing to meet these targets may face significant fines or exclusion from state-awarded contracts. 

That said, the government has maintained that these targets are not quotas but rather measures meant to address historical inequalities. These targets are not an excuse for businesses to implement racist hiring and firing policies in any business, even if such actions are done in the name of affirmative action.

While these changes reflect a more nuanced approach to employment equity, the journey towards a truly equitable workforce needs to continue. However, it requires willing participation and cooperation from all. 

We cannot forget that equality will mean little in a failed state. Businesses and the government need to prioritise the growth of the economy and attract investment, which will lead to more opportunities for all.

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