JOHANNESBURG (miningweekly.com) – South Africa’s National Union of Mineworkers (NUM) has rejected a 6,5% wage increase made by platinum producer Lonmin, during the first round of wage negotiations.

Lonmin had raised its initial offer of 5% to 6,5%, while the NUM had lowered its initial demand of a 25% across-the-board increase, to a 20% across-the-board increase.

The NUM said in a statement that although the negotiations have been largely positive, the union was calling on Lonmin to “pull up its socks” when the talks resumed on Thursday.

Although a wage agreement has not yet been reached, the parties have agreed on providing employees two days study leave as well as seven months paid maternity leave, which comprises of four months paid leave plus an additional three months paid leave for breastfeeding, the NUM said.

The parties have further agreed, in principle, on the phasing out of subcontractors and referred the matter to a task team to finalise the timelines.
There appears to be serious contentions on the issue of labour broking, which the company was adamant it would continue to use, the NUM said.

“The issue of labour broking, like the issue of percentage on wages is non-negotiable, so the stage for serious conflict is set,” said NUM chief negotiator Eric Gcilitshana.

Smaller union Solidarity is demanding a 10% wage increase for mineworkers, artisans and officials as well as a market-reacted increase in the housing allowance of these employees.

Solidarity will start negotiations with the mining company on Wednesday.

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