/ 12 June 2003

Iscor says Numsa has dropped back pay demand

A resolution to the dispute between South African steel producer Iscor (ISC) and the National Union of Metalworkers of South Africa (Numsa) is in sight following the union’s decision to withdraw its demand for back pay.

Iscor on Thursday confirmed in a statement that Numsa has withdrawn its demand for back pay, a demand which the company said was not legally justified and which prevented further discussions taking place.

Iscor executive director for human resources Abe Thebyane said now that Numsa has foregone its demand for back pay, a platform has been set for further discussions with the union later tonight.

The resolution could bring to an end an almost three week strike by Numsa members.

Numsa was demanding R5 000 back pay for all workers to cushion the effects of the restructuring process that has taken place in the past seven years and a comprehensive salary adjustment to be spread across to all skills grades.

“We have consistently maintained that the back pay demand was unjustified and that the company would consider other measures to mitigate the hardships the union claims its members had undergone during the restructuring process.”

Iscor said in Numsa’s communications to the company, it had withdrawn its demand for back pay and the union would consult its members in respect of suspending the strike action.

Thebyane said he hoped that the dispute could be resolved speedily given that Numsa members have lost close to three weeks’ wages and the fact that this year’s wage negotiations, which Numsa had withdrawn from because of this dispute, were well underway.

Numsa spokesperson Dumisa Ntuli said that the union would issue a comment later on Thursday on the new development. – I-Net Bridge