Retrenching workers is not the only means Iscor intends to use to deal with the combined impact of the collapse in the demand for steel and the continuing strengthening of the rand, the company said on Monday.
It has already merged its flat and long steel businesses and thus eliminated duplication, corporate affairs executive Phaldie Kalam said.
Iscor has also created a one-stop service to, for instance, do away with different payrolls for different arms of the company.
Kalam could not say how many jobs are on the line.
That is part of an investigation to be undertaken at the request of two unions, Solidarity and the United Association (SA). The two jointly represent about 5 000 of Iscor’s 13 000 workers.
Earlier Iscor and the two unions agreed to put a two-month moratorium on retrenchments until the end of November.
This was to allow the parties time to continue their investigations and consultations regarding the need for retrenchments, Iscor said in a statement.
”The moratorium period … will enable the unions to fully investigate the case for change, while simultaneously continuing the consultation process on possible retrenchments at a future date.
”While the parties are not required to agree on the way forward at the end of the moratorium period, we hope that the goodwill generated by the moratorium and sharing of information on the need for change, will lead to a very considered approach to the planned efficiency measures,” Iscor said.
The National Union of Metalworkers of South Africa, which represents about 3 500 Iscor workers, was not a party to the agreement, Kalam said. — Sapa