Amcu leaders unswayed by new offer

A member of the Association of Mineworkers and Construction Union (Amcu) holds placards as he attends a protest rally.

A member of the Association of Mineworkers and Construction Union (Amcu) holds placards as he attends a protest rally.

Published Jan 30, 2014

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Johannesburg - A three-year wage offer tabled by the three major platinum producers yesterday failed to sway the leadership of the Association of Mineworkers and Construction Union (Amcu) as its strike for a R12 500 minimum salary enters its seventh day today.

Anglo American Platinum (Amplats), Impala Platinum (Implats) and Lonmin offered an increase of 9 percent in the first year, 8 percent in the second and 7.5 percent in the third, the companies said yesterday.

They had previously proposed two-year agreements with raises of between 7.5 percent and 8 percent.

Amcu’s leadership indicated its dissatisfaction, but said it would consult its members on the offer.

The improved wage offer was less than the R12 500 monthly basic wage demanded, Amcu treasurer Jimmy Gama told Bloomberg.

He asked: “How can you be satisfied with an offer that does not address the living wage?”

A total of R198 million in revenue and R88m in wages had been lost at the three companies since the strike began last Thursday, the chief executives of the platinum companies said yesterday.

Each day, Amplats loses 4 000 production ounces, Lonmin loses 3 000 ounces and Implats loses 2 800 ounces.

About 70 000 workers are engaged in the strike and operations have come to a standstill at the three companies.

Amplats chief executive Chris Griffith said yesterday that given the current trading environment, the wage demand could be achieved only through a multi-year agreement based on total guaranteed pay.

“The offer was based on a set of principles aimed at taking our sector on a journey towards the goal of a R12 500 monthly pay package, but in a manner that is affordable and sustainable to the industry,” he said.

Talks to end the strike between Amcu and the platinum companies will continue in Pretoria tomorrow.

“It is a positive development that parties have agreed to continue to talk to each other in a mediated process,” Nerine Kahn, a director for the Commission for Conciliation, Mediation and Arbitration, said.

Today, Judge Hamilton Cele will rule on whether a planned strike in the gold sector is legal.

The Chamber of Mines approached the Labour Court to halt the strike last week. Amcu wants to go on strike for a R12 500 minimum wage at Sibanye Gold, AngloGold Ashanti and Harmony Gold. - Business Report

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