Can South Africa transition to a tech enabled economy?

Your insight into alternative thinking

One of the biggest changes that was brought about by the Covid-19 Pandemic was the acceleration towards a technology enabled society. Remote work became the norm and now that companies have discovered that this can be an effective way to run a business, the transition back to companies that require employees to be in the office five days a week is met with plenty of resistance.

When presented with the enquiry about whether a country can transition to a tech enabled economy, the obvious answer is yes. Connectivity is not as difficult as it used to be in the past, even with very rudimentary IT infrastructure.

There is a catch to this though. While it is possible to make this transition, what happens to jobs that cannot be moved to technology platforms? Meta (formally Facebook) discovered that this was an issue that was not thought about in any think sessions.

Bus driver pain

The article points out that bus drivers who shuttle Meta employees to and from the office are the latest Silicon Valley workers facing layoffs as the social media giant cuts costs and doubles down on remote work.

Hallcon Corporation and WeDriveU – two transportation contractors used by the Facebook parent company – announced they will be cutting 63 and 97 jobs respectively by the end of November, according to Worker Adjustment and Retraining Notification, or WARN, letters filed with the California Department of Labor.

The article adds that the layoffs comprise one-third of Meta’s shuttle driving workforce, according to Teamsters Local 853, the union representing the impacted drivers.

Bus drivers have suffered the most from Meta’s migration
Photo By: Canva

Adjusting on-site services

The article points out that Chris Rolletta, Vice President of Human Resources at WeDriveU, said in a WARN letter that the job cuts are a result “of our client’s reduction of transportation services,” but did not mention Meta by name, SiliconValley.com reported.

Meta did not immediately respond to Insider’s request for comment. A spokesperson told CNBC that the company has adjusted on-site services, including transportation programs, “to better reflect the needs of its hybrid workforce.”

The article adds that the move is the latest development showcasing how Big Tech’s widespread adoption of remote work is translating to layoffs for Silicon Valley’s in-person service workers. In September, Meta terminated nearly 100 janitors employed at the company’s California offices.

#needjobsIRL

As June 2021, any full-time Meta employees whose job responsibilities can be completed online can apply to become a fully-remote worker. Otherwise, employees are expected to spend at least half their time in the office.

The article points out that remote work is being embraced by the company’s top executives (including Meta CEO Mark Zuckerberg, who spends much of his time at his compound in Hawaii). But the lifestyle is not accessible to many Americans who “#needjobsIRL,” Teamsters Local 853 argues, as the majority of hybrid or remote positions are held by college graduates.

In August, Meta cafeteria workers, bus drivers, and janitors protested the recent wave of layoffs, arguing that the tech industry’s service workers deserve improved job security, healthcare, and fair wages, especially after two years of being considered “essential workers” during a global pandemic.

Rescind job cuts

“Over the last several years … tech has been thriving on the backs of all of us,” Silicon Valley Rising campaign director Maria Noel Fernandez said at the protest, according to Almanac News. 

The article points out that Teamsters Local 853 is asking Meta to “rescind its layoffs and mandate that its employees return to work, not only for the shuttle drivers, but for the janitors, cafeteria workers, and security guards who are also being impacted.”

“Unlike other Silicon Valley companies, Meta has refused to mandate that its employees return to work on the main campus. While the company generously supported its contracted workforce during the pandemic, they are the first to announce severe layoffs,” the union said in a statement.

There is a lot of pressure on Meta to rescind its job cuts
Photo By: Canva

An unintended problem

This is the unintended problem that remote work causes.

It needs to be acknowledged that many professions cannot be moved online. In the case of South Africa, like America, these positions include those of cleaners, security guards, and transportation services that companies may offer their employees.

In South Africa, these jobs are often occupied by unskilled labourers, those who barely have a high school education. In terms of restructuring or repositioning companies, this needs to be taken into account before any firm decision can be made on transitioning to a technology based company.

The Mystery Practitioner is an industry commentator that focuses on the shifting dynamics and innovative thinking that BRPs and turnaround professionals will need to embrace in order to achieve success in their businesses.