Big shift to hybrid work in South Africa catches government’s attention: report

Labour minister Thulas Nxesi says the big shift to a new way of working in South Africa is drawing the government’s attention, which needs to consider how to regulate the new environment to protect workers.

Speaking at the annual National Economic Development and Labour Council (Nedlac) summit this week, the minister said that the labour market was being disrupted by things like remote working, hybrid models, and current regulations were out of step with the practice.

“This raises a number of questions: What are the consequences of these transformations for businesses and workers; what does this mean for how we regulate the labour market?”

According to the City Press, Nxesi said that the government is used to regulating a labour market in which people meet physically, but after Covid-19 and lockdown, the world of work and labour no longer has physical interaction as the only way to do business.

He said the government has to regulate the labour market to ensure that digital work is decent work and to shape the direction of technological developments.

“We need to focus on sustainability and a just transition from the old to the new,” he said.

How work in SA is affected

Labour experts speaking on a panel at Nedlac raised several points of concern around the shift in work in South Africa, including how hybrid models affect employees’ wellbeing and how remote working affects labour migration.

Experts generally agree that the way business is conducted in South Africa has shifted permanently and that the working work – at least in terms of office jobs – is never going to return to the pre-Covid nine-to-five model of in-office employment.

Some companies have embraced the change, particularly in the banking sector, and have already adopted hybrid models, some to great success.

However, the transition for many hasn’t been completely smooth and has often put employers and employees at odds – especially with the former having to justify the use of expensive office space or losing negotiating power when trying to hire skilled employees.

Employees are increasingly demanding work-from-home flexibility and are generally turning their noses up at warnings about the negatives – like the loss of team collaboration, presenteeism bias, and losing out on mentorship and training opportunities in the workplace – in favour of a better work-life balance.

The shift has also disrupted more than just the labour market and how businesses operate. The secondary effects are also being felt in the commercial property market and entire cities and provinces.

Developers have had to re-imagine their multi-billion rand projects to cater for different needs – like the new R3 billion precinct being built in Sandton that had to move from being a predominantly commercial plan to a more residential one.

Meanwhile, cities like Cape Town and other coastal towns have had to accommodate a growing number semigrants who can now simply do their jobs from home.

Cynthia Samuel-Olonjuwon, assistant director-general and regional director for Africa for the International Labour Organisation told the Nedlac panel that the shift wasn’t entirely negative for employers, and that those who embrace the change will be able to expand their hiring processes, rather than limit them.

“(Businesses) now have the flexibility to find workers who best fit their business interests. They have begun to change their hiring criteria to include new groups of workers who had not been previously considered, including those who live far from their workplaces. This has expanded the scope for businesses to further access the skills they want.”

Read: Shift in working trends as South Africans seek economic prosperity