Cape Town - A wage settlement for over 50,000 workers in the clothing industry was reached on Monday, the SA Clothing and Textile Workers' Union said.
Sactwu general secretary Andre Kriel said workers in urban areas would receive a seven percent increase and non-metro workers a 10.1 percent wage increase, both backdated to Sunday.
He said five out of six employer associations endorsed the wage agreement, thereby averting a national strike.
Employers that did not sign the agreement or had unilaterally introduced wage increases without the union's consent, would have to give a further one percent wage increase.
The union issued an ultimatum to employers two weeks ago to settle the wage dispute, following support by 86 percent of its members for a strike.
“The settlement gives labour cost certainty which will help to promote industrial stability in the industry... Sactwu now looks forward to focus on the developmental challenges facing the industry,” Kriel said.
In terms of the agreement, the parties would convene a summit by no later than the first quarter of next year to examine the state of the industry and discuss interventions for future sustainability. - Sapa