Read this article in:
13 August, 2007
Double-digit pay gains were won for miners by South Africa’s largest union, the National Union Mineworkers (NUM). With two-year negotiations now nearly complete, only the world’s largest gold-mining companies remain tight-fisted in pay talks. Global-leading platinum producers, AngloAmerican’s Kumba Resources, and several coal producers came to terms with the NUM in the past week.
DeBeers averted a diamond-mining strike on 31 July when it increased its pay offer.
On 7 August, the world’s second largest platinum miner – Impala Platinum – reached accord with the NUM. A day later, AngloPlatinum, the world’s largest producer came to agreement. The contracts won by the NUM cover 39,000 miners at AngloPlatinum, and 26,000 at Impala Platinum. NUM also won a 10% for miners at the smaller Northam Platinum operations.
AngloPlatinum, 75% held by AngloAmerican, will this year award lower-classified miners a 10% increase, while the higher classifications get 8.5%. Next year, miners will receive between 8% and 9%. The Impala calls for 10% and 8% this year and between 7.25% and 8.5% in 2008.
Also last week, workers at Kumba, a major iron ore producer, agreed to pay hikes this year of 10%, 9.5%, and 8.5%, depending on the job classification.
And 13 days ago, NUM recommended wage increases of 10% and a bit lower for the higher classifications to coal miners. In the second year of the agreement, coal miners will receive 1% on top of the consumer price index, or no less than 8%. NUM’s coal-mining members are employed by such companies as AngloCoal, Xstrata, Optimum Collieries, Exxaro, Eyesizwe, and Kanga.
At DeBeers, where a strike by 6,000 workers was to occur on 31 July, the world’s leading diamond miner met the NUM’s terms on that day. Diamond miners will receive 10% in the lower grade; 9.5% in the middle grade; and 8.5% in the higher-paid grade. “We put a demand of 10% and we got it, so there is nothing to complain about,” said Peter Bailer, NUM’s lead negotiator in diamond mining.
NUM General Secretary Frans Baleni
But talks with gold producers remain stalled. In the last days of July and early August, the Chamber of Mines – on behalf of AngloGold Ashanti, Goldfields, and Harmony Gold – had refused to budge from its top offer of 7.75%. As the two sides continue in talks, the NUM is mobilizing for strike action. “We believe that the Chamber of Mines has tested our patience long enough and our workers will haunt the profit they make out of the workers sweat,” stated NUM General Secretary Frans Baleni.
Nearly all the negotiations between the NUM and mining companies are occurring through the Chamber of Mines. Since disputes were called in most, South Africa’s Commission for Conciliation, Mediation, and Arbitration (CCMA) has been involved.
Meanwhile, another mining death has occurred at an AngoGold facility in South Africa, the third such death at an AngloGold mining operation in the country in just a few weeks. A worker fell into a pit at the company’s Moab Khutsong mine on 9 August. The pit had no barricades around it. AngloAshanti now has recorded 12 deaths overall in its South African mines this year.