Should small business pay bargaining council rates?

The Free Market Foundation (FMF) has launched a constitutional challenge to section 32 of the Labour Relations Act 1995 in the Pretoria High Court in 2013. The section governs relations between bargaining councils (BCs), the minister and employers, and compels the minister to extend agreements struck by those at the bargaining table to those not present and not party to the negotiations.

According to Rob Wilkie, chief financial officer at business management services company Sage, small businesses are under pressure from rising costs and should be exempt from paying wages agreed to at bargaining councils between unions and big business.

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