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No milk shortage as union reaches deal

Jul 24 2012 13:15 I-Net Bridge

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Johannesburg - Clover Industries [JSE:CLR] and the Food & Allied Workers Union (Fawu) have reached a wage settlement‚ ending a six-day strike.

The two parties have settled on an 8.5% wage increase and a minimum payroll increase of R360 per month‚ which represents a total 10.5% average increase for the lowest paid worker.

About 3 500 Fawu members in Cape Town‚ Johannesburg‚ Durban‚ Free State‚ Limpopo‚ and North West‚ had embarked on strike last Wednesday‚ demanding wage increases and better working conditions.

The industrial actions have resulted in disruptions that affected the processing of raw milk and availability of some products mainly in Gauteng and KwaZulu-Natal‚ Clover said in a statement. Clover chief executive Johann Vorster said: “Clover is of the opinion that the increase of 8.5% and a minimum payroll increase of R360 per month constitutes a fair and reasonable settlement. We will now continue to work closely with our suppliers‚ business partners‚ customers and principals to restore a normal situation over the next couple of days."

 
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