Labor Disunion and Fiscal Risks

SOUTH AFRICA - Report 17 Nov 2014 by Iraj Abedian
The recent expulsion of the National Union of Metalworkers of South Africa (NUMSA) from the Congress of South African Trade Unions (COSATU) could be the harbinger of intense inter-union competition as well as an escalation in industrial relations instability in South Africa. As things stand currently, it is hard to imagine cordial relations between rival factions in the improbable event that NUMSA manages to find its way back into the COSATU fold. The labor union genie is out of the bottle.Three outcomes are likely to emerge from the labor movement disintegration: First, given that a populo...

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