The new wage agreement with the National Union of Mineworkers (NUM) is expected to be implemented in two phases and applies to all RBPlat employees within the A to D1 categories. This constitutes 89 per cent of the South African company’s workforce.
“The first phase will be effective from 1 July 2014 to 30 June 2017, while the second phase, the terms of which have already been agreed to, will be effective from 1 July 2017 to 30 June 2019. The parties have agreed that a wage review will be undertaken in May 2017,” [DATA RBP:RBPlat] said.
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“The purpose of this review will be to ensure that the agreed increases are in line with the Consumer Price Index prevailing at that time, and that RBPlat’s minimum wage remains in line with that of the platinum industry.”
The South African platinum group metals producer indicated that the new wage agreement is unique in that it presents a total value proposition for all company stakeholders.
“The value proposition includes a housing component that forms part of the housing scheme the company announced on 2 June 2014. The housing scheme enhances the ability of employees to create sustainable personal wealth through ownership of an asset that will appreciate over time,” it said.
“The safe and secure environment offered by the housing scheme is expected to support a family orientated lifestyle. It is also envisaged that decent living conditions for employees will contribute positively towards improved performance and the prevailing safety culture.”
RBPlat also expects the Living Out Allowance (LOA) and Home Owners Allowance (HOA) to be gradually phased out as employees are allocated homes and applied instead as Housing Fund Contributions.
“The LOAs and HOAs that remain in place will be increased by approximately seven per cent per annum for the first two years of the new wage agreement and thereafter remain the same for the remaining three years,” said the company.
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“RBPlat believes that the new agreement will provide the company and all its business partners with a critical measure of stability as they continue to focus on growing the business for all stakeholders.”