Johannesburg - The dominant union at Anglo American Platinum (Amplats) mines, the Association of Mineworkers and Construction Union (Amcu), has postponed to next year a decision on a possible strike over wages at the biggest producer of the metal.
Jimmy Gama, the treasurer, said yesterday that Amcu would ask members to decide on a possible strike once they returned in January from a two-week break.
Amcu got permission for a legal strike at the company two weeks ago after exhausting mediation procedures.
It usurped the National Union of Mineworkers (NUM) in the past year as the biggest representative of employees at the three largest platinum producers – Amplats, Impala Platinum (Implats) and Lonmin – which mine most of their metal in South Africa.
The union is demanding that basic monthly wages for the lowest-paid underground workers be more than doubled to R12 500. Amplats has offered a 7 percent increase.
Mpumi Sithole, an Amplats spokeswoman, was not available for comment.
Gama said that Amcu had considered calling a strike vote on Saturday or Sunday, but was unable to arrange a venue.
Amplats erased early gains of as much as 0.9 percent after the union’s comments, falling 1.15 percent to close at R386.51. The JSE’s platinum mining index fell 1.03 percent.
The Commission for Conciliation, Mediation and Arbitration (CCMA) on November 13 gave the union the right to call a strike at Amplats without its members risking dismissal.
Implats would meet with Amcu on December 12 in the latest effort to reach a wage settlement, company spokesman Johan Theron said yesterday.
Amcu lowered its wage demand from the company by 31 percent to R8 668 on November 12. The producer that day revised its offer for the lowest-paid below-surface workers to increases of 8.5 percent for the first year of a three-year deal. These workers currently earn R5 500 a month.
“The meeting is a last-ditch attempt to get a settlement before Christmas,” Theron said. Workers would be entitled to salary increase payments backdated to July when the previous wage arrangement lapsed, he said. “If we can’t get an agreement before Christmas, we won’t be able to make those payments.”
Theron said Implats operations would close on December 20 and reopen on January 5.
Gama said Amcu and Lonmin would meet for mediation by the CCMA next month.
NUM members marched to the offices of Northam Platinum, a smaller producer, yesterday as a work stoppage over pay enters a fourth week. NUM has been striking since November 3 and has rejected pay raise offers of between 8 percent and 9 percent. Northam accepted a memorandum from NUM and said it would respond as soon as possible. – Bloomberg