Barry Streek
The large-scale firing and retrenchment of workers on Western Cape fruit farms will cause huge damage to rural civil society and to the quality of life in the province but it won’t make the industry productive and internationally competitive, two University of Western Cape (UWC) researchers have concluded.
They also dismiss claims that farm labour is too expensive: “We defy anyone who argues that people who are paid an average R165 a week are too expensive. Whatever else may be said about them, that is not expensive,” said Dr Andries du Toit.
Du Toit and Fadeela Ally, of the Programme for Land Agrarian Studies at UWC’s school of government, released a case study of labour and management on Western Cape fruit farms this week.
They found there was a threat of a large-scale shift in the direction of massive retrenchments and the increased use of casual labour. “Some farmers have already been moving in this direction, reducing on-form permanent labour force by 50% and sometimes as much as 75%.
“In the context of increasing competitiveness overseas, they have argued that the production of regulation of labour conditions and wage levels constitutes an unrealistic burden. These trends are likely to gather force.”
Du Toit and Ally say that if this continues “it is clear that those who will pay the heaviest price will be those who are most marginalised, least protected and most exposed to the risk of violence: the black and coloured rural poor, and particularly women”.
The industry, which had exports of R1,38-billion in 1998 and which employs about 280 000 people, including 63 000 permanent farm workers, is in serious trouble. At least eight fruit businesses, including farms, have already gone bankrupt in the Ceres area, where the average debt of farmers has been estimated at R7-million.
Du Toit says although labour is an important issue, it is not the only factor in the crisis. High interest rates, the high rate of the dollar and hail had all contributed, and some of those who had been liquidated in Ceres were among the most progressive in the area.
A vision for the future of the industry is needed as is a consolidation of export agencies.
In their study Du Toit and Ally found that the massive downsizing and outsourcing of core production tasks was not a long- term solution to the increasing international competitiveness and eroding profitability of fruit production.
They found that an investment in the capacity and skill of labour and an emphasis on participation labour management style was a viable strategy.
Du Toit also says that with the price of developed orchards now going at rock-bottom prices, the opportunity for putting commercial black farmers on this land is greater than ever. They would need support, but if the government is serious about land reform, the opportunity should be grabbed.