Key Takeaways:
- MiWay sales agents staged a picket outside the company’s offices in Johannesburg, protesting against salary cuts that have severely impacted their ability to sustain their families.
- The agents alleged that their salaries were cut by R7,000 two months ago, leading to financial distress and depression among some employees.
- The new commission model, labelled a "cap system", has severely limited the agents’ earning potential, with some employees experiencing a dramatic plunge in earnings.
- The agents criticized the company’s executive leadership, accusing them of being greedy and only looking out for their own interests.
- The financial pressure has taken a heavy toll on the well-being of the sales team, with some employees experiencing depression and others struggling to make ends meet.
Introduction to the Protest
MiWay sales agents staged a picket outside the company’s offices in Parktown, Johannesburg, on Friday, protesting against salary cuts that have crippled their ability to sustain their families. A group of about 50 employees gathered in what appeared to signal a "stay away" as employees voiced their grievances. The protest was a result of the company’s decision to cut the agents’ salaries by R7,000 two months ago, a move that has led to severe financial distress and depression among some employees.
The Impact of Salary Cuts
The agents accused management, who they said came from a competitor, of having "ruined where they’ve come from" and are attempting to replicate the same destructive behaviour at MiWay. The new commission model, which they labelled a "cap system", has severely limited their earning potential. Employees claimed that the previous income structure had no commission ceiling and they shared proportionally in the business they wrote. However, the new model has reportedly left 20% of staff walking away with "no money" while 80% are getting "very little". This has resulted in a dramatic plunge in earnings, with some employees going from earning around R30,000 to receiving R2,000.
Employee Frustrations
Speaking anonymously to TimesLIVE, several employees shared their frustrations, painting a picture of unsustainable income drops. "Imagine earning a certain amount and then they cut it in half and then cut it again," one employee said. "We are missing instalments, our accounts are in arrears, and every month we have to choose what to pay and what not to pay." Employees said they are unable to disclose exact salary figures for fear of breaching internal policy, but described a dramatic plunge in earnings. The sales agents criticized the company’s executive leadership, accusing them of being greedy and only looking out for their own interests.
The Human Cost
The financial pressure has reportedly taken a heavy toll on the well-being of the sales team. "The company looks clean and beautiful from the outside, but inside people are depressed. Some have collapsed on their chairs. Ambulances come in every now and then," one agent said. The protesting employees also raised issues regarding medical aid rules, claiming they were forced to take company-mandated medical aids, which they pay for out of their own pockets. The group said they had attempted to seek recourse through the Commission for Conciliation, Mediation and Arbitration (CCMA) but were reportedly unable to get help as the matter was deemed a labour issue.
The Company’s Response
While TimesLIVE was speaking to the agents, MiWay management arrived outside the building and gave the protesters a written ultimatum that was pasted on pillars of the building. A manager and members of the HR department warned the employees to return to work in 40 minutes or face disciplinary action. The notice accused employees of embarking on an illegal strike. "You have not complied with the provisions of our internal policies and procedures and the law to withholding your services. You are therefore embarking on illegal strike action," the letter reads. The company’s response has been met with criticism from the employees, who feel that their concerns are not being taken seriously.
Conclusion
The protest by MiWay sales agents highlights the need for companies to prioritize the well-being and financial stability of their employees. The dramatic plunge in earnings experienced by the agents has had a severe impact on their ability to sustain their families and has taken a heavy toll on their mental health. The company’s response to the protest has been met with criticism, and it remains to be seen how the situation will be resolved. As the employees continue to struggle to make ends meet, it is clear that a solution is needed to address the concerns of the sales agents and ensure that they are able to earn a fair and sustainable income.