Although the Chamber of Mines (CoM) was expecting to receive a formal response from the Association of Mineworkers and Construction Union (Amcu) regarding its proposed formation of a centralised bargaining forum for the platinum sector soon, AMCU president Joseph Mathunjwa told Mining Weekly that the union had rejected the proposal.
This followed a meeting between AMCU, South African platinum mining companies and the CoM to negotiate an industrywide wage deal instead of company-by-company contracts.
Mathunjwa indicated that AMCU would not take part in centralised negotiations and that “the status quo remains the same”. He added that the CoM could propose another meeting, but “it is still early days”.
The CoM facilitated the meeting in the hope of preventing further aggressive industrial action, which has been ravaging the local platinum sector since last year. This, in combination with rising operational costs and low spot metal prices, has resulted in numerous platinum mines having been forced to close or look at the possible suspension of operations.
CoM labour law and industrial relations expert Dr Elize Strydom told Mining Weekly that AMCU had indicated during the meeting that it would reflect on the suggested route of central negotiations.
“The chamber sees centralised negotiation as one of the possible mechanisms to avoid violence and instability. Companies will not be engaging in wage negotiations at different places and times, having to deal with different demands that result in different wage agreements. This, in turn, can result in dissatisfaction,” she said.
Strydom added that centralised bargaining would allow for more efficient wage negotiations, as one set of negotiators would be set in place.