Africa-Press – Eswatini. Business Eswatini (BE) has expressed serious concern over the potential economic fallout from the proposed prohibition of triangular employment, commonly known as labour brokering, warning that more than 22 000 jobs could be at risk.
Speaking at the official launch of the Triangular Employment Ban Impact Analysis on Friday, 12 September 2025 at Royal Villas in Ezulwini, BE Chief Executive Officer Nathi Dlamini emphasised that the proposed ban could undermine job security while threatening the survival of small and medium-sized enterprises (SMEs).
He noted that many small businesses rely on contracts with larger companies, and prohibiting triangular employment would disrupt these essential arrangements. “Small businesses survive by contracting with bigger companies. If you prohibit triangular employment, all SMEs in Eswatini will be affected,” Dlamini explained, highlighting industries such as construction, agriculture, and sugar, where subcontracting is central to operations.
The briefing coincided with the tabling of the Employment Bill No. 12 of 2024 by the Ministry of Labour and Social Security, which proposes a full ban on triangular employment. BE stressed that understanding the potential impact of this legislative shift was crucial. Their report indicated that triangular employment arrangements are widespread in sectors including security, forestry, agriculture, and ICT, where flexible labour models are essential for maintaining competitiveness.
BE Chairperson Mvuselelo Fakudze underscored that the report was intended as a tool for policymakers rather than a position paper. “This report is not a position paper. It is a tool for policymakers, researchers, and social partners to use in shaping a labour market that balances worker protection with business sustainability,” he said.
The organisation recommended amending Section 129 of the Employment Bill to replace an outright ban with a regulated licensing framework aligned with international labour standards, particularly ILO Convention 181. BE highlighted that international and regional experience shows that prohibition often fails, whereas regulation can provide robust worker protections while preserving economic stability.
The business community warned that enforcement of the ban could trigger retrenchments, enterprise closures, reduced competitiveness, and heightened credit risks for SMEs. As Parliament prepares to deliberate on the controversial section of the bill, BE urged lawmakers to carefully weigh the wider economic and employment implications before adopting prohibitive measures.
Officials from the Ministry of Labour and Social Security were also part of the meeting, where the BE executives expressed their concerns. The officials present included Commissioner of Labour Knowledge Mamba. They were urged to inform Minister of Labour and Social Security Phila Buthelezi of the concerns from the BE.
The issue of labour brokering has been a contentious issue between the employers, employees, and Government. Employers and employees seem not to be on the same page on this issue, with employees stating that this industry is only there to benefit from employees and employers, without adding any value to decent work and the economic well-being of the country.
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