/ 6 August 2001

Car manufacturers face strike

Johannesburg | Monday

THE South African automobile industry faces a strike by 21_000 members after last ditch talks on Sunday to resolve the deadlock were cancelled, a union official confirmed.

“We decided not to have a meeting with the employers after realising that they will not provide any solution to the problem,” Dumisa Ntuli, spokesman for the National Union of Metalworkers of South Africa (Numsa), said Sunday.

He said they would again talk to members of the Automobile Manufacturers Employers Association (AMEO) “once they assure us they will put something substantial on the table”.

Protracted talks into Friday night had brought the two parties no nearer to a settlement.

The union wants a 12% wage increase across the board and a two-year wage agreement, while the employers are offering a 7,5% wage increase and a three-year agreement.

AMEO spokesman Dave Kirby said the association wanted to resolve the dispute and avert the strike.

Kirby said the country stood to lose R200-million in foreign exchange if exports are halted for a week.

AMEO represents seven international car and car parts manufacturers with factories in South Africa including BMW, DaimlerChrysler, Delta, Ford, Nissan, Toyota and Volkswagen. – AFP