Agreement in plastics industry

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LabourCrossing Reuters.

Cape Town - Workers in the plastics industry will receive an eight percent wage increase in the coming year, the Plastics Converters Association of SA (PCASA) said on Wednesday.

The two-year wage agreement was reached on Monday between several organisations representing employers and unions, PCASA chief executive Johan Pieterse said.

The increase would be effective from Tuesday (July 1) until July 1, 2015.

Pieterse said the second year's increase would be calculated at Consumer Price Index plus one percent.

Should the CPI be above eight percent or below five percent, negotiations would be re-opened.

“We regard this agreement as a victory for both employers and employees in the plastics industry at large,” said Pieterse.

“Not only will thousands of workers be able to retain their jobs, but more job opportunities will also be created.”

Unions Solidarity and SA Equity Workers' Association took part in negotiations.

The National Union of Metalworkers of SA (Numsa) did not.

Numsa on Tuesday began an indefinite strike in the metal and engineering sectors for a double-digit wage increase.

Pieterse said more than 200,000 workers in the industry were expected to take part in this strike. - Sapa

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