S.African gold miners break ranks in wage talks - CNBC Africa

S.African gold miners break ranks in wage talks

Southern Africa

by Chris Bishop 0

Photo: Wikipedia

On Tuesday gold producers,[DATA PAN:Pan African Resources'] Evander and Village Main Reef will make their offers to the unions. This is the first time the gold employers have made separate offers to the unions, even though one agreement will be signed at the end of negotiations expected to stretch into September. The rest of Tuesday will be taken up with so called bilateral talks where the employers will explain their offers to each union.  

The three main gold employers [DATA HAR:Harmony Gold], Sibanye, [DATA AGL:AngloGold] have made pay offers in the pay negotiations Monday  to unions  representing 93,000 gold workers, at wage negotiations in Boksburg 30km east of Johannesburg. Harmony offered 7.8 % to category 4 to 8 entry level workers; AngloGold Ashanti 12.96% and Sibanye 11.16%. "We are very encouraged that the unions are listening to us,” Elize Strydom, the chief negotiator for the employers said Monday.

"The carrot is not yet big enough," Gideon du Plessis, of the union Solidarity, said outside the talks.

This is the first time gold employers have broken ranks to make individual offers. Village Reef and Evander are expected to make their offers Tuesday June 30.

The pay deal is linked to a position share if companies make more than 6%, after tax , they will pay workers a bonus.

"We are poles apart. If they do not even meet us halfway they will push us to a strike and we will be happy to oblige," National Union of Mineworkers general secretary David Sipunzi said at the end of the day’s pay talks.

The NUM wants an entry level pay increase of more than 80%; rival union AMCU wants 100%. AMCU refused to comment.