S.Africa's striking AMCU union rejects platinum wage offers - CNBC Africa

S.Africa's striking AMCU union rejects platinum wage offers

Mining

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A crowd of miners at a mass meeting near Lonmin's Marikana mine reacted with boos and jeers when told about the offer. PHOTO: Jay Caboz

This has resulted in a week of industrial action continues.

A crowd of miners at a mass meeting near Lonmin's Marikana mine reacted with boos and jeers when told about the offer, a fraction of the 12,500 rand month the Association of Mineworkers and Construction Union (AMCU) has been seeking.

A union official at Anglo American Platinum, the world's top producer of the precious metal, said the mood there was also sour.

"The miners were angry about the offer," AMCU branch manager Siphamandla Makhanya told Reuters.

The strike in the platinum belt has also impacted No. 2 producer Impala Platinum. In all, the strike has hit around 40 percent of the global supply of platinum, used in catalytic converters in cars.

The impact on a major source of South African foreign exchange has contributed to a major sell-off in the rand currency, which plunged to a five-year low of 11.38 against the dollar on Wednesday, despite a central bank interest rate hike.

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