Johannesburg - The spectre of a strike in the retail motor industry has increased, following the decision by the National Union of Metalworkers of South Africa (Numsa) to declare a dispute in negotiations for a new agreement for the industry.
Jakkie Olivier, the chief executive of the Retail Motor Industry Organisation (RMI), which represents 19 000 businesses that collectively employ 300 000 people, labelled Numsa’s actions “irresponsible” and “premature”. He confirmed on Friday that Numsa had last week declared a deadlock in their negotiations at the motor industry bargaining council. He claimed Numsa had acted irresponsibly in declaring a dispute so early in the process.
Olivier said the parties had only had four days of negotiations, excluding the pre-bargaining process over two sessions, which, given the list of demands, was a short time to negotiate these issues and premature to declare a deadlock. He said there had not been any negotiations about the core structural issues of concern to the RMI.
These were Numsa’s demands for a mega bargaining council, comprising the vehicle manufacturers, oil refineries and retail motor industry, and a one-year rather than a three-year agreement. The RMI previously said it would not commence negotiations about Numsa’s demands until these structural issues had been resolved. It stressed it would not allow the RMI to be incorporated into a mega bargaining council, because it would put the survival of its members under threat.
Olivier said that Numsa did not appear to be serious or interested in entering negotiations on these two issues.
Attempts to obtain comment from Numsa were unsuccessful.
The negotiations involve three employer organisations in the RMI, Fuel Retailers Association, National Employers Association of South Africa and two unions, Numsa and the Motor Industry Staff Association.
The current agreement expires on August 31 and covers a number of sectors, including automotive component manufacturers, vehicle body builders, service and repair workshops, fuel service stations, vehicle dealers and automotive parts and accessories retailers.
Olivier said the deadlock meant the parties would have at least one dispute meeting, which was scheduled for July 13. If that failed to resolve the dispute, the parties had to enter into compulsory mediation under the facilitation of an experienced mediator. If the mediation was unsuccessful, the logical last step was for the mediator to issue a certificate of non-resolution, which in that case would allow Numsa to give employers 48 hours notice at any time of a strike.
A strike by the retail motor industry in 2013 halted production at vehicle manufacturing plants because of a shortage of automotive components.
Acting Numsa spokesman Patrick Craven said a facilitation process with the independent Commission for Conciliation, Mediation and Arbitration was scheduled for July 13.
Numsa’s demands also include a 20 percent wage increase, a R5 000-a-month housing allowance and medical benefits to be paid on the basis of 80 percent by employers, 20 percent by employees.
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