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No breakthrough in Amcu wage dispute

Johannesburg - No agreement has been reached yet in talks aimed at ending the strike by members of the Association of Mineworkers and Construction Union (Amcu) at three platinum mining companies.

"We are disappointed that we have not been able to resolve the current platinum industry wage strike," Implats chief executive Terence Goodlace said in a statement.

The companies remained committed to engaging with Amcu to find a solution that would satisfy workers and preserve jobs.

Members of Amcu at Lonmin [JSE:LON], Anglo Platinum (Amplats) [JSE:AMS] and Implats [JSE:IMP] went on a protected strike on January 23, demanding a basic entry level salary of R12 500 per month for miners.

The Commission for Conciliation, Mediation and Arbitration (CCMA) has been brokering talks between the union and the platinum companies since January 24.

The platinum producers proposed a three-year agreement last month, which Implats said was based on principles that would eventually see miners' salaries reaching a minimum guaranteed R12 500.

Implats offered to increase the minimum monthly guaranteed pay package so that surface employees' package would grow from R8 641 now to R10 915 in the three years. Underground workers' packages would increase from R9 297 to R11 746 over the same period.

In terms of the proposal, the three companies would increase their combined spending on wages and benefits by R2bn in the first year. According to Implats, the platinum industry lost around R4.3bn last year.

Since the Amcu strike began, Implats had lost R1.38bn in revenue.

The CCMA said in a statement on Friday that it met Amcu representatives on Thursday and would meet the platinum producers on Monday.

CCMA director Nerine Kahn said it was important to bear in mind that the mediation process was the first time Amcu and the platinum producers were negotiating at a collective level.

"The CCMA is committed to continuing to engage the parties in exploring all options for a jointly agreed solution to the strike action," she said.

On Saturday Amplats said it would sue Amcu for compensation for damages and losses suffered during the work stoppage.

The provisional quantum of the damages claim is about R591m, although as Amcu's wrongful conduct is continuing the damages will continue to accrue.

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