All has been relatively quiet on the industrial action=20 front so far this year. Reg Rumney reports.=20
Strike action has been relatively subdued so far this=20 year — but it is early days. Man days lost in the first=20 quarter of this year are low compared to the first=20 quarter of last year, according to Andrew Levy
In the first quarter of 1995, 60 000 man days have been=20 lost, compared to 295 000 in the first quarter of 1994.=20
Andrew Sparks of Andrew Levy & Associates notes,=20 however, that 1994 was atypical, given the political=20 climate prior to the election.=20
However, few companies have begun their rounds of wage=20 negotiations, and the period when wage negotiations=20 become central is about to begin .=20
Early indications are that wage negotiations are being=20 settled quickly, says Sparks, and within expected=20 ranges, but it is too early to say that this indicates=20 single-digit settlements will be the norm across the=20
“Best indications will come from the mining, metal and=20 motor sectors within the next few months.”=20
Sparks describes the public sector as the “greatest=20 unknown quantity”.=20
The Budget provides for an increase of only 3,25 percent=20 in the “remuneration of employees”. This is a real=20 decrease of six to seven percent, given inflation=20 expectations this year.=20
Old Mutual economist Dave Mohr predicted recently that=20 wage increases in the private sector would match=20 inflation this year.=20
Sparks says that unlike last year, when a number of=20 strikes had carried over from the previous year, this=20 year only one major strike was carried over. This was=20 protracted action by members of the South African=20 Clothing Catering and Allied Workers’ Union (Saccawu) at=20
“Even though the workers involved in this dispute have=20 since been dismissed, the situation remains tense with=20 stores being looted and trashed and a high level of=20 violence taking place. This strike is an important=20 marker for franchise operators and the issue of=20 centralised bargaining.”=20
While wage-related strikes are still dominant, at 50=20 percent, the Spar strike is related to union=20
Retrenchment-related strikes, notes Sparks, at 12=20 percent probably represent the tail-end of companies=20 affected by the long economic downswing, and these are=20 likely to decline.=20
“Strikes stemming from grievances (14 percent) are=20 consistent with previous years, and those related to=20 dismissals (seven percent) are still low, indicating=20 that most companies are now conversant with procedures=20 to be followed.”=20
A single strike during the first quarter of this year=20 accounted for a high percentage of the man days lost, as=20 in 1994, with the ABI strike.=20
This wage-related strike at the South African Dried=20 Fruit Co-op, involving 800 workers for five weeks,=20 received scarcely any publicity, comments Sparks.=20