Gold wage offer 'needs work' - union | Fin24
 
  • Rolling blackouts

    Power cuts could slash SA's GDP growth to just 0.3%, says market research firm Intellidex.

  • 'Really close to the edge'

    Eskom is being forced to operate without 40% of it nominal capacity, says energy analyst Chris Yelland.

  • Insurance Fraud

    Life insurers say the "buying and renting of dead bodies" to obtain fake certificates is popular.

Loading...

Gold wage offer 'needs work' - union

Jul 06 2015 12:52
Coal mining

(Shutterstock)

Company Data

HARMONY GOLD MINING COMPANY LIMITED [JSE:HAR]

Last traded 47
Change 1
% Change 2
Cumulative volume 2514075
Market cap 0

Last Updated: 01/01/0001 at 12:00. Prices are delayed by 15 minutes. Source: McGregor BFA

Sibanye Gold Limited [JSE:SGL]

Last traded 32
Change 1
% Change 4
Cumulative volume 21873870
Market cap 0

Last Updated: 01/01/0001 at 12:00. Prices are delayed by 15 minutes. Source: McGregor BFA

ANGLOGOLD ASHANTI LIMITED [JSE:ANG]

Last traded 288
Change 12
% Change 4
Cumulative volume 1899360
Market cap 0

Last Updated: 01/01/0001 at 12:00. Prices are delayed by 15 minutes. Source: McGregor BFA

Related Articles

Gold companies offer unions up to 13% increase

Gold climbs as Greece fears knock stocks, euro

Unions, gold sector 'far apart' in negotiations

NUM decries ‘apartheid’ wage system

NUM says mines can raise pay 80%

Gold Fields may be safe from US action over BEE deal

 

Johannesburg - South African union UASA said while gold producers tabled a “good opening offer” in pay negotiations last week, it still needs work.

Labour groups will meet on Monday with the Chamber of Mines, which represents AngloGold Ashanti [JSE:ANG], Harmony Gold [JSE:HAR] and Sibanye Gold [JSE:SGL], after consulting with their members on the initial proposal, Franz Stehring, head of mining at UASA, said by phone Monday.

The producers offered wage increases of between 7.8% and 13%, plus a share of profits.

The proposed five-year deal is “too long,” said Stehring, adding that virtually unchanged housing allowances and increases not linked to inflation were also issues. The centralised negotiations with producers also include the National Union of Mineworkers, which represents most gold miners and is demanding an 80% increase in basic pay.

“The answer to the chamber from our side will be ‘go back and redo your figures,’” said Stehring, whose UASA comprises about 7% of the 95 000 employees involved compared with 52% for the NUM.

Members of the Association of Mineworkers and Construction Union, which represents 30% of employees in the industry, are firm about their demand of R12 500 rand a month, Manzini Zungu, a spokesperson for the union, said in a text message.

The companies have guaranteed employment if their profit margin at operating-unit level, after the allocation of all costs, doesn’t fall below a margin of 6%.

The offer by producers is unprecedented from previous wage negotiations by starting with “a guarantee in terms of job retention,” Dawie Mostert, a senior vice president at Sibanye, said at a presentation Thursday. “The essence of what we’re trying to do here is job retention on the back of a sustainable industry.”

amcu  |  num  |  uasa  |  labour  |  mining
NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
9 comments
Comments have been closed for this article.
 

Company Snapshot

Voting Booth

What do you think about private healthcare in SA?

Previous results · Suggest a vote

Loading...