Johannesburg - The National Union of Metalworkers of SA (Numsa) threw down the gauntlet to the retail motor industry and indicated its members would have no option but to go on strike if the industry did not meet its wage demands.
A certificate of non-resolution was issued to Numsa last week during a negotiation session with the Retail Motor Industry Organisation (RMI).
This will allow Numsa to give the industry 48 hours notice of a strike.
Irvin Jim, the general secretary of Numsa, confirmed yesterday that the union was consulting its members and would take a decision on a possible strike “between now and early next week”.
Jim said Numsa had also asked the RMI to provide the union with its final position in writing, but stressed that “where things stand now, there is no reason to settle”.
Numsa’s final demand is a wage increase of 9 percent in the first year of a three-year agreement, with wage hikes of 8 percent in each of the following two years. The RMI has offered a wage increase of 7 percent in each year of the agreement.
The automotive component manufacturing sector has offered 8.5 percent in the first year, 7.5 percent in the second and 7 percent in the third year.
Extreme concern
Jim said Numsa had written to all the retail motor industry employers to inform them of the union’s extreme concern that progress was not being made in the negotiations for a new agreement after settling negotiations in both the car and tyre sectors.
Jakkie Olivier, the chief executive of the RMI, which represents 19 000 businesses that collectively employ 300 000 people, confirmed this week that Numsa had asked for their final settlement offer in writing, which they would provide to Numsa after a scheduled meeting with the Energy Department yesterday.
Olivier said the meeting with the Energy Department followed a settlement reached between Numsa and the Fuel Retailers Association on guaranteed wage increases of 9 percent in the first year and 8 percent in the following two years.
He said this settlement was higher than what the RMI’s members could afford and was supported by only 25 percent of the fuel retailing sector.
He said fuel was a regulated product and it was not ideal to have different agreements for same class of workers.
The Automotive Manufacturers Employers Organisation and Numsa last month agreed on a 10 percent wage increase in the first year of a three-year agreement with an 8 percent wage hike in each of the following two years.
The settlement between the SA Tyre Manufacturing Conference and Numsa was for an 8.5 percent wage increase in the first year and wage hikes of 8 percent in each of the following two years.
BUSINESS REPORT