Johannesburg - A new three-year agreement for the vehicle-manufacturing industry appears imminent.
Hlokoza Motau, head of collective bargaining, organising and campaigning at the National Union of Metalworkers of SA (Numsa), confirmed to Business Report late yesterday that although the agreement had been reached on all the major issues, it was still subject to it being endorsed by the union’s national executive committee.
Motau said the parties had agreed on a 10 percent wage increase in the first year and 8 percent in each of the following two years.
He said motor manufacturers had indicated that a housing subsidy was a major cost issue for them and had offered a subsidy of R500 a month per employee.
Demands agreed on earlier this year at Numsa’s national bargaining conference to be put forward in different sectors included a 20 percent wage increase, a one year agreement, a R5 000 housing allowance and medical benefits to be paid on the basis of 80 percent by employers and 20 percent by employees.
Bargaining
Motau said Numsa shop stewards had returned last week to the various vehicle manufacturing plants to obtain a mandate from their members.
However, Motau was unable to confirm when an agreement would be signed.
In 2013, almost nine weeks of back-to-back strikes by various sectors in the motor industry and automotive value chain, including the automotive component sector, resulted in the loss of production of 58 000 vehicles worth a total of about R11.6 billion.
Johann Evertse, the chairman of Ameo, said earlier yesterday an in principle agreement had not yet been reached with Numsa and he could not confirm when an agreement would be signed.
However, Evertse added: “I think it’s close. We have reached agreement on most of the key issues.”
Evertse decline to comment on the specific Numsa demands where agreement still had to be reached.
“As soon as we are done we will release a press statement,” he said.
BUSINESS REPORT