Numsa threatens industrial action in steel and engineering sector

The standoff between engineering workers affiliated with the metalworkers' union Numsa and employers in the steel and engineering sector has reached a critical point, with threats of industrial action looming large. Numsa has accused the Steel and Engineering Industries Federation of Southern Africa (SEIFSA) of exploitation, citing the lack of increment for workers last year and the failure of many employers to comply with minimum wage regulations. The wage dispute has intensified, with Numsa demanding fair compensation for workers who have played a crucial role in the sector's profitability, pandemic or not. In response, SEIFSA has offered a 4.4% increase this year and CPI plus 0.5% increase next year, which has further fueled tensions between the parties. To shed light on the situation, Lucio Trentini, Chief Operating Officer at SEIFSA, and Spuy Sebotsa, Engineering Coordinator at Numsa, joined CNBC Africa for a discussion. The dialogue highlighted the complexities of the negotiations and the challenges in reaching a mutually beneficial agreement. While both parties have historically resolved disputes amicably, the current impasse underscores the deep divides in wage expectations and economic realities within the sector.