Motor Industry Bargaining Council

Frequently Asked Questions

Employers

1. Why did the SSC not send me my monthly forecasts?

   Monthly forecasts are sent to all employers as well as statements reflecting the record of payments received. Should you not have received a forecast, please call the Mibco Shared Services Centre at 011-369-7500 and ask for the Returns processing Department who will gladly assist you.

2. Why do I have to register as an employer?

   In terms of the Main Agreement for the Motor Industry, all employers within the scope of application of the Agreement need to register with the Bargaining Council. All employees within the scope of application of the Main Agreement must also be registered by the employer.Amongst other requirements, there are social security funds to which both employers and employees contribute . These funds include the Auto Workers’ and Motor Industry Provident Funds. Full details of all the social security funds are reflected elsewhere on this website.

3. Why must I join your Provident Fund as it is my constitutional right to decide which fund I want to join?

   The Auto Workers’ and Motor Industry Provident Funds are compulsory Funds as per the collective agreements entered into by/and between the employer and employee parties to the Motor Industry Bargaining Council, and promulgated as such by the Minister of Labour. The Funds are industry funds and this means that you will remain covered by these funds for as long as you are employed in the motor industry as per the Bargaining Council’s scope of application. The funds offer substantial retirement, death and ill health benefits and have a proven track record of performance excellence. A handy link to the Motor Industry Fund Administrators (MIFA) website, who administer the funds and deal with the management of the Funds’ assets, is available under the Quick Links.

4. I have a small business , so why am I not exempted from your legislation?

   In terms of the Main Agreement for the Motor Industry, all establishments who employ people are required to regsister with the Council. You may be pleasantly surprised to know that the motor industry as defined in the Main Collective Agreement is mostly a small employer industry. It is also relevant to note that in terms of Section 30 (1) (b) of the Labouur Relations Act, there is a specific requirement that the constitution of a bargaining council must provide for the representation of small and medium enterprises. This requirement has been duly incorporated in the Constituion of Mibco and is applied in practice.

5. Why do I have to pay council levies , you don`t protect me as an employer?

   The Main Agreement for the Motor Industry is the result of negotiations between the employer and employee parties to the Council. The provisions of the Agreement do in fact provide benefits to both employers and employees.

6. I have to run a business to survive , I haven`t got enough time to concentrate on legislation and so much red tape from MIBCO.

   It depends what you regard as 'red tape'. In Mibco’s case, all that is required from employers and employees is to abide by the provisions of the Main Agreement which underpins orderly structures in the industry . The submission of monthly returns and payments to Mibco takes very little time indeed. A small employer who uses the Mibco Online Returns system can literally finalise his monthly returns and effect payment in a matter of minutes.

7. I am struggling due to financial constraints , can`t pay annual increases , will MIBCO exempt me this year?

   There is an exemption process that employers can follow within 30 days of the promulgation of wage adjustments. Contact your Mibco Regional Office for details.

Employees

1. I submitted my sick pay leave application some time ago and still awaiting payment?

   Applications for sick & accident pay benefits are processed by the Mibco Shared Services Centre on a daily basis as applications are received. If there is a delay in the processing of an application, it could be due to a variety of reasons, such as insufficient details in respect of the claimant, incorrect banking details, or employer returns which may not be up to date, resulting in a member being out of benefit. If applications are submitted correctly and the relevant employer returns are up to date, applications are usually be processed

2. Why must I pay council levies?

   Council Levies are payable by employers and employees on a 50/50 basis. The current levy is R 4,70 per week of which R2,35 is paid by the employee through a wage deduction and the balance is added by the employer. The Council levy constitutes a major component of the Council’s revenue which funds the Council’s operations, including the Dispute Resolution Centre. It is important to note that the Council is a private institution with statutory powers and is not funded by Government.

3. My employer deducted provident fund from my wages and it was not paid over to MIBCO , did you summons him?

   In this instance you should lodge a formal complaint at your Regional Mibco office so that the matter can be taken forward by the Inspectorate. Once this has been done Employers who are in arrears with their returns and payments are prosecuted through the Mibco Dispute Resolution Centre (DRC). This is the legal remedy available to the Council for the collection of arrears. A directive to pay issued by the DRC is submitted to the CCMA for certification in terms of the provisions of the LabourRelations Act. Once this has been done the ,matter is submitted to the Labour Court for an execution order. Once the execution order has been granted by the Court, the Sheriff of the Court is instructed to attach assets which are then sold to realize the outstanding debt. You can well imagine that this is quite a long process , most of which is not in Mibco’s hands and it can therefore be quite time consuming. Fortunately, many cases are settled before the Labour Court stage is reached.

4. How do I go about updating my Company staff changes with the Council?

   It is important to note that the Council only becomes aware of your staff content and changes when an Agent comes out to you OR where you notify the Council of such changes. It is good practice to note these changes with the Council as and when they occur so in time to come you are not adversely affected. All relevant staff changes must be made on the Monthly Return Amendment Form, a copy of which is available in your yearly Employer Guide or from any MIBCO office.The form is also available on this website. Go to the “forms” section to access it.

5. What do I do if my Employer does not want to register me?-

   As an employee falling within the ambit of the Motor Industry your Employer is OBLIGED to register you with the Council. Should he/she be uncooperative in this regard an Agent from our Complaints Department will be more than willing to assist in getting your Employer onto the road to compliance. Your Employer must understand that he/she does not have a choice in this matter. The Council’s Agreements are strict to this measure. Please visit our nearest Regional Branch for assistance.

6. What do I do if my staff refuse to contribute to the Motor Industry Provident Fund?–

   It must be understood by ALL parties to the Council that there is NO CHOICE really, in belonging to the Industry’s Provident Funds. This follows from the S.A. Government’s drive to ensure that all employees belong to a provident or pension fund. All employees who are NEW to the Industry (that is, an employee who has never worked in the Motor Industry before) are given a six month grace period unto which to be registered onto the relevant Industry Provident Fund. After this six month period and for any other employee who has been working in the Industry for more than six months, belonging to the relevant Provident Fund is COMPULSORY. It is perhaps a good idea to speak to your staff bearing this duty and obligation in mind and if that does not help; your Designated Agent is well equipped to deal with resistance of this nature.

7. Who do I contact if I need guidance on salaries and working hours?

   It is advisable to contact the Chief Agent at your local Mibco regional office – contact details are available on the web site www.mibco.org.za.

8. How do I lodge a complaint with MIBCO?

   It is recommended that you visit your local Regional Mibco office in order to lodge the complaint with the relevant staff and or send a detailed e-mail to the Chief Agent of your Regional MibcoOffice.

   Visit the offices of MIBCO in your specific region to provide an affidavit to one of the complaints clerks and / or send a detailed e-mail to the Chief Agent in your region.

9. How do I know if I am registered with MIBCO?

   You should contact your Regional Mibco office and on request provide your identity number or passport number to the Client Service staff who will then provide you with your Mibco council number if you have been registered through the employer’s Monthly Returns.

10. How do I know if my employer is registered with MIBCO?

    You should contact your Regional Mibco office and on request provide your identity number or passport number and or the trading name of the company where you are employed. The client Service staff will then be in a position to establish if the employer is registered with Mibco.