Labour Department Takes Huawei to Court for Hiring 90% Foreign Nationals, SA Left Frustrated

• The South African government is taking Huawei South Africa to court for being in contravention of labour laws
• The Department of Employment and Labour found that Huawei has employed an overwhelming number of foreign nationals over locals
• South Africans have taken to social media to air out their frustrations over Huawei's hiring policies in the country

JOHANNESBURG - The Department of Employment and Labour has launched legal action against Huawei South Africa for being in violation of employment equity laws.

The Chinese company was found to have employed approximately 90% foreign nationals, violating the law that requires companies to hire 60% South Africans and 40% foreign nationals.

According to BusinessTech, the Labour department stated that Huawei was audited in 2020 and when the company was found to be in violation Huawei's legal team was contacted, however, the legal team stated that it was given an allowance by the Department of Homa Affairs not to follow the Employment Equity Policy.

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The labour department contacted Home Affairs to find out if such an allowance was granted to Huawei to hire more than 40% foreign nationals, however, Home Affairs stated that Huawei was given a permit in accordance with the immigration laws of South Africa.

The labour department then had a meeting with the Department of Home Affairs and Department of Trade and Industry to determine whether or not Huawei had in fact been in contravention of laws laid out by the Trade and Industry department.

After consultation, the departments decided to take Huawei to court because of its offences.

Breakdown of Huawei South Africa's employment structure

The labour department found that in the top management positions, Huawei had employed 100% foreign nationals and that the company had every intention of keeping the numbers this way for the next two years.

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In terms of senior management, Huawei had employed 38% foreign nationals and had plans to increase the number of foreigners employed in those positions in future. At the skilled-technical level, a total of 76% of foreign nationals were hired and the tech company planned on increasing those numbers in the next two years.

Read the full statement here:

South Africans left frustrated by Huawei's labour violations

@PretoriaProudly said:

"People have been constantly complaining about the Department Of Labour and Home Affairs for years now. But continue with guilt-tripping those who are voicing out their feelings about being xenophobic. We already know this."

@LelobelaT said:

"Thanks to EFF. Maybe we will see more labour inspectors visiting our working areas to ensure compliance."

@simangeleSmiley said:

"Please they should be fined immediately and suspend their operating license then go to all the IT companies in Midrand those who have subcontracted with the banks."

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@esibiya1245 said:

"Lol they must further check how many tenders Huawei gets in government through their "local" partnerships, they literally supply our IT infrastructure."

@percyv82 said:

"True! I have been to their headquarters in Midrand a few times! All I saw there, were a lot of Chinese guys at the smoking areas!"

Toyota Financial Services and WesBank referred to Competition Commission, accused of collusion

Briefly News previously reported that Toyota Financial Services (TFS) South Africa and WesBank have been accused of colluding in connection with vehicle loans. They were discovered to be engaged in an agreement where they provide customers with vehicle finance, thereby dividing the market.

The case has been referred to the Competition Commission, which has ascertained that WesBank and TFS SA disobeyed the Competition Act 89 of 1998, specifically section 4(1)(b)(ii).

According to MyBroadband, the agreement in question prevents WesBank from providing vehicle finance for people who purchase Toyota vehicles from licensed dealerships, including Lexus and Hino models.

Source: Briefly News