No gold wage deal for Solidarity, say producers

17th August 2015 By: Natalie Greve - Creamer Media Contributing Editor Online

JOHANNESBURG (miningweekly.com) – While indicating its intention to accept a gold-sector wage deal by the Chamber of Mines (CoM), trade union Solidarity was unable to accept the deal unilaterally, as the offer remained contingent on the acceptance of all four unions represented in the sector, say the gold companies.

This came after Solidarity on Monday issued a statement indicating that it had accepted a final gold sector wage offer from the CoM that would see its members employed at Sibanye Gold and AngloGold Ashanti receiving a 6% increase in the first year of the three-year deal, while those employed at Harmony Gold would receive a salary hike of 4.8% in the first year.

“As indicated to the negotiating parties on various occasions, the chamber consistently made the point that its final offer was conditional on all four unions accepting such [an] offer.

“Because the Association of Mineworkers and Construction Union and the National Union of Mineworkers have rejected the offer, this condition has not been met and no agreement can, therefore, exist between Solidarity and the chamber,” stated the gold producers.

The CoM said on Friday that all unions representing workers in the gold sector had rejected the final wage increase offer from producers.

Solidarity general secretary Gideon du Plessis said on Monday that, while the union was not satisfied with the final offer on the table, the union’s members had mandated it to accept the chamber’s final offer, given the “enormous” pressure currently experienced in the industry.

“It has become crucial to ensure the sustainability of the mining industry and to minimise the possibility of retrenchments. We place great emphasis on ensuring job security and stability in this industry,” he commented.

The deal would also see an increase in retirement age for surface workers from 60 to 63 as well as the finalisation of a report on the proposed retirement age of 63 for underground workers by a multi-stakeholder task team.

Under Monday’s agreement, underground workers would also qualify for an underground allowance if they participated in company activities above ground.

The housing allowance portion of the deal would increase by R100, while spouses working for the same company would both qualify for the housing benefit.

In future, houses owned by the mining company would also be sold to employees at below market and municipal value, Solidarity said in a statement on Monday.