COSATU Gauteng denounces the exploitative tendencies of Sanlam

COSATU in Gauteng is deeply disturbed by reports that Sanlam, one of the biggest financial sector companies is treating its workers with the highest level of disdain and inhumanity during this difficult period in our country and the world over. Sanlam has implemented a cold-hearted model of paying its Advisors who are earning through a commission through a loan system. These employees are expected to apply for loans with Sanlam, which are equivalent to the minimum commission they accrued between January and March 2020 and will repay them post lockdown.

Additional to this disgraceful action by Sanlam, it is a known fact that commission earning employees at Sanlam sign contracts that allows Sanlam to recoup the commission paid to employees in an instance where clients cancel policies signed less than 2 years. It does not need a rocket scientist to know that a number of people who took policies during January and March 2020 might cancel these policies because of the financial challenges as a result of the national lockdown. In this instance, a commission earner at Sanlam will have to pay the loan as well as the commission they received from cancelled policies.

It is disturbing that Sanlam is interested in maximizing profit at the expense of its employees during a period. This reflects the high levels of exploitation in the financial sectors that is mostly benefiting from all sectors of society including workers. It is alarming that Sanlam is unable to pay these employees to cushion them during lockdown, yet they are able to give them loans. 

The Federation is calling on Sanlam to desist from this self-centred and atrocious behaviour and pay commission earners a minimum wage to cushion them from the economic challenges they are facing.

COSATU is going to take the case of these workers and if Sanlam fails to respond we will call for a boycott against them.

 We further demand that the company start paying commission earners basic salaries post lockdown. We also call the Department of Labour to investigate Sanlam for not adhering to labour laws and Ministerial directives of this country.

Issued by COSATU Gauteng

Provincial Secretary:        Louisa Modikwe – 0742266879

Provincial Chairperson:   Amos Monyela – 0794935002