/ 19 June 2003

Gold producers, unionists still deadlocked

After another round of talks between the National Union of Mineworkers (Num) and coal and gold producers represented by the Chamber of Mines, the two parties are still at loggerheads over wage negotiations.

Num chairperson at the negotiations Dion Bogwana, said that there seems to a long and hard road ahead for the talks.

“This is the indication we get from the inability of the industry to open their minds to the union’s demands.”

“The two days of talks have yielded nothing. In fact, they were a waste of our time because the Chamber did not move at all. So it’s back to square one and we are sending everything back to our branches and regions,” said Boqwana.

Num general secretary Gwede Manatshe said “The only move we have seen thus far is gold producers offering 0,5% extra, moving from a 6,5% to a 7% wage increase.”

Apart from wages other outstanding issues are: annual leave, integration of bargaining units, bargaining council, women in mining, retirement funds, housing and accommodation, job grading and health care.

The union wants workers to be given a living-out wage of R1 200. It is also demanding that 50% of mine workers in all the companies be housed in family accommodation by 2007, as opposed to single-sex hostels.

Also among the Num’s demands is the introduction of a 50% subsidy for all medical aid.

It is also demanding that employers’ contributions to a workers’ provident fund be increased from 12,5% to 18,5%. The union is calling for the elimination of what it terms racially-based formulae for calculating bonuses and allowances.

In addition to normal maternity and paternity leave, the union is asking that each parent be given an extra 14 days yearly, for two years after the birth of a child.

The Chamber of Mines, which represents gold and coal producers, said that in the case of the gold mines, an amended wage offer was made for a 7% increase as from July 1. The offer also encompasses achievement within two years of a minimum basic wage of R2 000 for all surface workers, an objective that was achieved for underground workers in the previous wage agreement.

For some companies, this implies increases of 12,9% per annum in both years.

The Chamber added that a three year agreement was proposed, with the increases in the second and third years being equal to inflation (subject to certain escape clauses).

It also said the collieries did not make an improved wage offer.

According to the Chamber, in most cases the offer on the table is 8% as from July 1, with achievement as in the case of gold mines of a R2 000 rand minimum for all surface employees over the course of two years. Regarding the second year of a two year deal, the collieries have proposed a wage increase equal to inflation, subject to a minimum of 5% and a maximum of 7%.

The Chamber states that the context of these wage offers is that amongst other conditions employees in gold and coal mining receive generous bonuses, a 12,5% employer contribution to the retirement fund, free accommodation or a living out allowance, free health care for the employees and a holiday leave allowance equal to a thirteenth cheque.

“The details of programmes designed to further improve the socio-economic conditions of employees have been the focus of much of the talks in the gold negotiations, which include a framework dealing with the expansion of accommodation options and the creation of a conducive environment for the employment of women in mining.

The Chamber said the discussions covering the Chamber’s coal mining members centered around aspects of the offers on the table on certain issues other than wages.

Both gold and coal mines will meet again with the Num on 25 and 26 June 2003. – I-Net Bridge