A BRIEF HISTORY

The BIBC originated in the 1920’s under the Inspector of Labour as “The Cape Peninsula Building Trades Joint Board”. In 1925, the Board was converted into “The Local and District Committee of the National Industrial Council of the Building Industry of South Africa”. In 1995, the Labour Relations Act (LRA) created a new legislative framework and renamed Industrial Councils as Bargaining Councils.

OUR LEGAL BASIS

The BIBC is a sector and area-specific Bargaining Council created in terms of the LRA. This Act provides that employer and employee representative organizations within an industry or area can enter into Collective Agreements covering “any areas of mutual interest”. If the parties are sufficiently representative of the industry, they can approach the Minister of Labour to gazette these agreements and extend them to bind non-parties as well.

Our demarcated area of jurisdiction covers about 400sq km, extending from Gordon’s Bay along the Hottentots Holland mountains to Malmesbury and including the entire Peninsula, to Cape Point.

OUR COLLECTIVE AGREEMENT

Our Agreement lays down the terms and conditions of employment in the building industry, including the minimum wages and benefits. This is normally negotiated annually and once signed, it is gazetted by the Minister with effect from 01 November. Thereafter, all persons engaged in the building industry within the demarcated area of the BIBC are required to comply with the terms of the Collective Agreement, whether they are signatories to the agreement or not.

OUR FOUR MAIN FUNCTIONS

  • To offer a forum to negotiate the Collective Agreement between employer and employee representative organizations on an annual basis
  • To administer and enforce the Collective Agreement in the building industry.
  • To resolve all labour disputes in the building industry on behalf of the CCMA
  • To administer social benefit funds for employees (e.g. retirement, medical aid, sick pay and holiday pay)

THE SIZE OF OUR ORGANIZATION

The BIBC consists of 20 part-time councilors (including a Chairman and Deputy Chairman) who meet monthly. Employer and employee organizations have equal representation on the Council. There is a CEO, 8 managers and staff of approximately 90 people.

Although the BIBC is a creature of statute, it is not sponsored by the State and it is funded by levies paid equally by employers and employees. We service the needs of about 3500 employers and 46000 employees and we are always trying to deliver the best for less.

WHY REGISTER AND COMPLY?

Compliance means being registered as an employer with the BIBC, registering new employees within the 60 day period and providing employees with the prescribed minimum wages and benefits. An employer, who is unregistered or in dispute with the BIBC will not be regarded as compliant. (The detailed compliance criteria are listed on our website).

There are many employers in the industry who advocate a culture of non-compliance. The same people often argue that they need not register for Income Tax, VAT, PAYE, UIF, RSC and OHSA levies. Civil disobedience may have been acceptable in the past but it can hardly be supported in the new South Africa. Today, it makes good sense to comply with legislation, as the advantages far outweigh the disadvantages.

ADVANTAGES OF COMPLIANCE

  • The BIBC has negotiated undertakings from various state and private bodies, which are responsible for awarding contracts to the building industry, so that only compliant employers will qualify for such work. This program is expanding constantly.
  • Compliant employers have a lower level of labour unrest as wages are negotiated on a collective basis. Employees know that they are being paid to industry standards.
  • Only compliant employers are listed on our website. Work providers and main contractors use this list to select contractors.
  • Our labour relations agents offer free courses and advice before you encounter problems plus speedy dispute resolution
  • We run free monthly seminars on topics of industry concern
  • Employees registered with BIBC are assigned individual “holiday fund” numbers which ensure that they receive their correct benefits – regardless of employer.
  • The BIBC administers four benefit funds on behalf of the industry – pension, medical aid, sick and holiday funds. They are specifically designed for the industry and you do not need to provide your own.
  • We also run a payroll service that is tailored to builders’ needs, at a very competitive rate. It includes cost centre analysis reports and is currently used by about 39 companies with a total of 2000 employees.

DISADVANTAGES OF NON-COMPLIANCE

  • Non-compliance may appear cheaper than being compliant, but it is illegal.
  • Non-compliant sub-contractors will not get work easily from main contractors as the latter become jointly and severally liable for their non-compliance.
  • When you are caught, the fines and penalties can be expensive. 
  • Some employees prefer immediate cash to pension, leave or sick pay benefits although this is often short-sighted. 
  • Because of high unemployment, unregistered labour can always be obtained at below the minimum wage but is this wise or fair?

WHERE TO FIND US:

BELLVILLE:
Office hours:

08h00 to 16h00 Mondays to Fridays
08h30 to 11h00 on the first Saturday of each month

 81 Voortrekker Road,
Bellville, 7535

Postal
Private Bag X29,
Bellville, 7535

Telephone: 021 950 7400
Fax: 021 950 7405

PAARL:
Office hours:
08h00 to 16h00 Mondays to Fridays

08h30 to 11h00 on the first Saturday of each month

Garlink Building,
29 Lady Grey Street
Paarl, 7646

Postal
PO Box 323,
Paarl, 7620

Telephone: 021 872 1505
Fax: 021 872 2301

SOMERSET WEST:
Office hours:
08h00 to 12h30 Mondays to Friday

08h30 to 11h00 on the first Saturday of the month

7 Oak Street
Seven Oak Centre
Somerset West, 7130

Postal
Private Bag x29,
Bellville, 7535

Telephone: 021 851 2160
Fax: 021 950 7405

Our Mission:
To achieve a stable employment relationship and fair economic competition in the building industry.