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Agrekon
Agricultural Economics Research, Policy and Practice in Southern Africa
Volume 30, 1991 - Issue 4
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Contributed papers/Gekeurde referate

THE EFFECTS OF LABOUR STRIKE ACTION ON A LARGE SCALE DAIRY ENTERPRISE

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Pages 291-294 | Published online: 28 May 2010
 

Abstract

Industrial labour practices in southern Africa are new to all those involved with agriculture. The impact of a strike on an on-going biological production process has far more serious long term implications than does a similar stoppage in a factory production line producing with inert (non-living) materials. On a large irrigated scheme in the Eastern Cape, which includes a pasture based dairy enterprise, a number of work stoppages have taken place over the past 18 months. The paper quantifies the immediate and longer term financial impacts of work stoppages. The immediate consequences of the stoppages are loss of milk sales and market share, and the longer term consequences include the cost of premature drying off, lost production due to lower lactation over the recovery period as well as the cost of missed heats and inseminations on extended inter-calving periods. The various work stoppages were undermining the scheme which led to the resultant involvement of a recognised trade union in the area, believed to be one of the first trade unions recognised in agriculture. The conditions of the trade union agreement are highlighted. In conclusion, the implications of strike action for agricultural managers, development planners, investors and trade unions are discussed.

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