/ 12 August 2001

Auto strike mediation talks start

LUCIA MUTIKANI, Johannesburg | Sunday

COMPANY representatives and striking auto workers met arbitrators on Friday to try to resolve a five-day work stoppage, union officials said.

The National Union of Metalworkers of South Africa (Numsa) is demanding a 12 percent salary increase and a two year wage agreement for its 21_000 members at seven assembly plants, while employers are offering a 7,5% increase and a three year wage deal.

Domestic inflation is running at between 6,3% and 6,4%.

Numsa spokesman Dumisa Ntuli told Reuters the union had not backed down from its demands which also include a two- year wage contract as opposed to the employers’ offer of a three year deal.

The meeting under the auspices of the Commission for Conciliation, Mediation and Arbitration (CCMA) started an hour late just after 3pm. Ntuli said it was likely to continue into the night.

”The issues we are dealing with are quite sensitive for the industry and we hope that it will work out a common platform and begin to narrow differences,” he said.

But the parties are not optimistic that mediation will bring industrial action to an end.

”We are going there to look at the whole situation and try to resolve it. I don’t necessarily think a new offer is going to make a difference,” Automobile Manufacturers Employers Organisation (Ameo) spokesman Dave Kirby told Reuters.

Employers said the strike, which started on Monday, has so far cost them about 6_000 units in lost production and R600-million in turnover.

Ameo groups together BMW, DaimlerChrysler, Delta, Ford, Nissan, Toyota and Volkswagen.

Workers have lost R13,61-million since Monday, according to Numsa.

As Numsa and Ameo headed for arbitration, a wage strike at Highveld Steel and Vanadium Corp continued, while another started at Hulett Aluminium.

Around 4_,000 workers at Highveld, South Africa’s second-largest steel maker, downed tools on Tuesday to demand a wage increase of between 10% and 15%. Management is offering an 8% rise.

”There is no end to the strike. Employers have refused to negotiate at CCMA level. They said it was an internal matter, which should be resolved at company level,” said Numsa’s Ntuli.

The MWU-Solidarity union, which is also involved in the Highveld strike, said a meeting with management was still possible, but was waiting for formal feedback from the company. The union is demanding a 10% increase for its members.

At least 3_000 Numsa members at Hulett embarked on industrial action on Friday morning after wage talks deadlocked.

The union is demanding a 15% increase, while management is offering between 8,1% and 8,7%. – Reuters