Recruiters are reeling in the shock of being challenged by legislation. Read what the Competition Act says and take action against rogues who abuse your trust during recruitment.
SA Law Requires Firms To Compete for Talent
This article outlines the significance of the Competition Act in the light of current recruitment practices.
Some CEOs, HR directors and recruiters are frothing about why ‘competition’ and ‘anti trust’ is relevant to their interests in securing talent and fixing wage rates. This article explains how the Competition Act sets out a pretty direct description of what a fair and competitive environment is.
Workers are not pawns, they are deemed to be on an equal footing with the employed who are interviewing them and cannot be unfairly treated simply because they are in a vulnerable job seeking position.
The opening statement of the Act says:
To provide for the establishment of a Competition Commission responsible for the investigation, control and evaluation of restrictive practices, abuse of dominant position, and mergers; and for the establishment of a Competition Tribunal responsible to adjudicate such matters; and for the establishment of a Competition Appeal Court; and for related matters.
WHAT’S RELEVANT FOR RECRUITMENT?
- control and evaluation of restrictive practices
- the omission of pay information in job adverts
- the demand for pay slips as a criteria to be considered for employment. This practice has been reported by the public and is used to discriminate against those who have been unemployed and failed to provide records
- using pay slips as a wage determinant is restrictive practice as firms don’t compete fairly for talent
- abuse of dominant position
- Recruiters force job applicants to surrender this information or not be considered for the job
- applicants who have been unemployed and fail to provide pay slips are dropped from the recruitment process
- Firms force recruiters to obtain this information or no trade agreements ensue
- Firms place restrictions on wage offers based on information contained in pay slips, this is a breach of the applicants confidentiality as the firm is using information provided by the applicant – against the applicant. This is illegal and has been cross referenced with an legal case in South Africa, Dun and Bradstreet.
REPORT RECRUITERS ASKING FOR PAYSLIPS TO THE COMPETITION COMMISSION AND THE CONSTITUTION COURT.