File picture: Javier Galeano / Reuters.
File picture: Javier Galeano / Reuters.

Three-year wage settlement reached for motor industry

By ANA Reporter Time of article published Jan 28, 2020

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Johannesburg - The National Union of Metalworkers of South Africa said it had signed a three-year agreement in the motor industries bargaining council, which would see some workers getting annual wage increases of up to eight percent.

It a statement released late on Monday, NUMSA said the sector employed about 306 000 workers in components companies, fuel stations as well as car dealerships.

Under the new deal, garage workers and those working for dealerships would get a salary hike of eight percent in the first year, effective from this month, and a seven percent rise for the second and third years respectively.

Workers in the component manufacturers sector are set to receive a higher pay increase of 7.5 percent in the first year and seven percent for the second and third years.

All other employees will get a six percent wage hike for the first year and 5.5 percent for the second and third year, with all increases based on the minimum rates of pay.

"This round of wage talks was extremely tough because of the challenges faced in the economy," NUMSA said.

"But despite this we managed to secure higher wages in particular for garage workers who are the lowest paid in the sector."

This deal does not affect car factory workers, however. A separate three-year deal for this sector was announced in September last year, with workers gaining increases of up to nine percent.

 - African News Agency (ANA)

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