Greetings to the Honourable Deputy Minister of Employment and Labour Mr Jomo Sibiya, the Inspection and Enforcement team led by the Inspector General Ms Aggy Moiloa and Ms Milly Ruiters.
The Chinese Business Community
Workers and Comrades from organised labour
All protocol observed
The Congress of South African Trade Unions (COSATU) commends the Inspection and Enforcement Services (IES) Branch for its proactive efforts to engage employers, raise awareness of labour legislation, and strengthen compliance within sectors identified as vulnerable to labour rights violations. This is a progressive step towards strengthening compliance and capacitating the Chinese Business Employers who conduct business in South Africa
COSATU has, over many years, consistently raised concerns regarding instances of non-compliance with South Africa’s labour laws by some employers operating within the Chinese business community. These concerns have included allegations relating to working conditions, non-compliance with minimum wage provisions, excessive working hours, inadequate employment contracts, and violations of other basic worker rights. While we acknowledge that many employers operate responsibly and within the law, it remains critical that all businesses operating in South Africa adhere fully to the country’s labour legislation and constitutional values
We are facing major challenges in our economy and society including high levels of poverty, unemployment and inequality. As we work to transform and grow an inclusive economy, we must be sure that all benefits and not just a few are respected; we must pursue that growth not based on the exploitation of labour and the denial of workers’ rights.
Labour laws are not optional, something that can be side-stepped to make more profits. It is the minimum floor of protection in a society that has known what it means to treat human beings as disposal; it exists because working people organised; fought and sacrificed so that no employer – whether local or foreign can build wealth by breaking the backs of workers.
I want to speak plainly about the importance of complying with SA labour laws but also about the challenge we cannot ignore, our experience and findings that many of the Chinese-owned businesses operating in SA do not comply with the laws. I want to be clear from our side, we are not against investment, we are not against any nationality, we stand against exploitation, we stand against lawlessness, we stand against any business model that depends on precarity and underpayment as well as overworking employees in unsafe workplaces.
Recent developments have reinforced the concerns long raised by COSATU regarding labour law violations and worker exploitation in certain businesses. The Department of Employment and Labour itself has highlighted recurring challenges in some Chinese operated enterprises, including non-compliance with the National Minimum Wage, long working hours without overtime compensation, lack of employment contracts, inadequate occupational health and safety measures, and the employment of undocumented workers. These challenges have informed the Department’s ongoing advocacy and enforcement initiatives with the Chinese business community.
COSATU notes that these concerns are not merely theoretical. In June 2026, a joint inspection operation in Newcastle, KwaZulu-Natal, reportedly uncovered undocumented workers in poor living and working conditions at a Chinese-owned textile factory, leading to arrests and further investigations into possible labour and immigration violations.
Furthermore, the February 2025 conviction of seven Chinese nationals and their company on numerous counts related to human trafficking, child labour, occupational health and safety violations, and failure to comply with labour legislation serves as a stark reminder of the devastating consequences of worker exploitation. The court found evidence of workers being paid below statutory minimum standards and being subjected to unacceptable working conditions. This landmark case demonstrated the importance of coordinated enforcement efforts by the Department of Employment and Labour, the South African Police Service, and other state institutions.
It is against this backdrop that COSATU particularly welcomes the Department’s continued efforts to combine advocacy, education, inspections, and enforcement. We believe that genuine partnerships between government, organised labour, compliant employers, and the Chinese diplomatic and business community can help address these challenges, improve compliance levels, and ensure that all workers in South Africa enjoy the protection and dignity guaranteed by our Constitution and labour laws. Increasing effective inspection and enforcement measures, therefore promotes decent work, fair labour practices, and harmonious labour relations.
COSATU firmly believes that compliance with labour laws is not only a legal obligation but also a foundation for sustainable business growth, social stability, and economic transformation. We encourage all employers participating in this engagement to view labour compliance as a shared responsibility that protects workers, promotes fair competition among businesses, and contributes to the broader development of South Africa.
We further pledge our support for initiatives that strengthen collaboration between organised labour, employers, and government in addressing labour market challenges. Through constructive engagement and consistent enforcement of labour standards, we can ensure that all workers, regardless of sector or nationality of their employer, enjoy the rights and protections guaranteed by South African law.
COSATU therefore applauds the Department of Employment and Labour, under the leadership of the Inspection and Enforcement Services Branch, for taking decisive steps to engage the Chinese business community. We trust that this advocacy session will contribute meaningfully towards ending exploitative labour practices, promoting decent work, and fostering a culture of compliance that benefits workers, employers, and the South African economy alike.
Amandla!