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Labour Relations Act, 1995 (Act No. 66 of 1995)

Notices

Bargaining Council for the Metal and Engineering Industries

Dispute Resolution Agreement

Extension of the Dispute Resolution Collective Agreement to Non-parties

5. Contributions

 

(1) The provisions of this clause shall apply in respect of all employees engaged within the registered scope of the Council.

 

(2) Contributions shall be made by employers in the manner specified hereunder:
(a) From the earnings of every employee to whom this Agreement applies the employer shall: In respect of weekly paid employees deduct seventy one cents (R0.71) each week, and in respect of monthly paid employees deduct  three rand and seven cents (R3.07) each month; including periods in which the employee is absent on paid leave. The equivalent monthly payment is three rand and seven cents (R3.07) per employee; and
(b) To the amount deducted in terms of paragraph (a) hereof, the employer shall add an equal amount and forward the total sum to the Council each month.
(c) The contributions in 2(a) above will increase in the second and third years by the respective year on year inflation rate as at December as published by Stats SA, to be reviewed annually.
(d) The contribution collected by Council in terms of this agreement shall be for the exclusive use of all dispute resolution functions of the Council and shall be maintained in a separate account and accounted for separately.

 

(3) The total amount payable to the Council in terms of sub-clause 2(a), (b) and (c) hereof shall be forwarded to the Council each month.
(a) Every employer in regions A, B, C, D, E, and F shall forward the amounts payable each month in terms of sub-clause (2) above, together with a statement in such form as may be specified from time to time by the Council, to reach the Metal Industries Benefit Fund Administrators (MIBFA), Central Funds Collection Office, 2nd Floor, Metal Industries House, 42 Anderson Street, Johannesburg, 2001, by no later than close of business on the 7th Day of the subsequent month.
(b) The employer uses the postal services, courier services or any other means of delivery or transfer at his own risk. The relevant postal address is P O Box 61474, Marshalltown, 2107. A facility for direct bank-to-bank transfer of funds is also available. Enquiries to be directed to the Financial Manager at the above address or (011) 870-2000.

 

(4) Regardless of whether any amount is payable to the Council in terms of this clause, every employer shall, not later than the 7th day of each month, forward to the Council in respect of the preceding month and in the manner indicated therein, the statement referred to in sub-clause (3) hereof, and shall record thereon the number of employees employed on Limited Duration Contracts of employment during the month to which the statement applies.

 

(5) For the purposes of this sub-clause 'the Act' means the National Credit Act 34 of 2005.
(b) If any amount that falls due in terms of this clause is not received in full by the Council by the 7th day of the month following the month for which the amount is payable, then the employer shall be liable to pay interest in accordance with the following provisions.
(i) The interest payable shall accrue on the balance of the amount outstanding from time to time from the 7th day until the full amount is received by the Council.
(ii) The interest shall accrue at the same effective rate as the applicable maximum annual finance charge rates as if the amount outstanding were a "credit transaction" for the purposes of the Act. For purposes of calculating the interest, the provisions of section 1 of the Act read with Regulation 42(1) of the Act shall, mutatis mutandis, apply.
(iii) The Council shall, in its absolute discretion, be entitled to waive payment by the employer of any interest that accrues in terms of this sub-clause.
(iv) In the event of the Council's incurring any costs or becoming obliged to pay any collection commission by reason of the failure of the employer to make any payment on or before the due date, the employer shall then be liable to pay forthwith all such costs of whatever nature as between attorney and client and all such collection commission.
(v) In addition to the above, all the other provisions of the Act that are relevant for the purposes of calculating any interest payable by the employer in terms of this subsection shall, mutatis mutandis, apply for these purposes.