Update: Merchant Shipping Bill Withdrawn to Allow Nedlac Consultation
During the week of 13 October 2025, Cabinet announced that the Merchant Shipping Bill, 2023 has been withdrawn from Parliament to enable the Department of Transport (DoT) to finalise consultations with the National Economic Development and Labour Council (Nedlac).
The Bill, first introduced to Parliament in May 2023, has had a protracted journey. After lapsing in May 2024, it was revived in July that year, but concerns soon emerged regarding the absence of prior engagement with Nedlac. This process is a key component of South Africa’s legislative framework, allowing social partners and stakeholders to comment on draft legislation and suggest amendments before parliamentary consideration.
By March 2025, the parliamentary committee responsible for the Bill noted that Nedlac had not been consulted, a concern strongly raised by the Congress of South African Trade Unions (Cosatu). The DoT’s Deputy Director-General for Maritime Transport, Mthunzi Madiya, confirmed that the Department would engage with Nedlac if required to do so by the committee.
Legal advice was subsequently sought on whether the Bill could lawfully proceed without Nedlac input. Parliamentary Legal Advisor Phumelele Ngema confirmed that the Bill falls within the ambit of section 5 of the Nedlac Act, and therefore should have been referred to Nedlac. While the Act does not prescribe specific consequences for non-compliance, Ngema advised that the DoT should refer the Bill to Nedlac while the parliamentary process continued, with Nedlac’s feedback to be submitted directly to the committee.
Despite this, the committee continued to deliberate on the Bill and related issues such as coastal shipping, port efficiency, transport costs, and labour considerations. The most recent meeting held on 16 September 2025 addressed Minister Barbara Creecy’s request to postpone public hearings. The committee, however, resolved that hearings should proceed in line with the established timeline to allow Nedlac engagement prior to the conclusion of the Budgetary Review and Recommendations Report (BRRR).
Cabinet has since confirmed that the lack of Nedlac consultation necessitated the Bill’s withdrawal from further parliamentary processing. The Department of Transport will now undertake the required engagement with Nedlac before the Bill is reintroduced.
While the withdrawal delays the Bill’s passage, it offers an important opportunity for meaningful engagement between government, labour, and industry stakeholders. Our firm will continue to track the progress of the Nedlac process and provide updates on any legislative developments affecting the maritime sector.