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24 August, 2009
Last week, 33,000 electric power workers in South Africa came to terms with state-owned electric provider Eskom, thus averting a string of strikes and industrial actions. ICEM affiliates National Union of Mineworkers (NUM) and National Union of Metalworkers (NUMSA) are expected to sign a new labour accord today.
On 19 August, Eskom, which supplies 90% of South Africa’s power needs, presented the two unions and a third one with a 10.5% first-year wage increase. That is 2.5% higher than the utility was prepared to pay earlier in August when the dispute went before the country’s Commission for Conciliation, Mediation, and Arbitration (CCCM).
The NUM represents 16,000 workers at Eskom, while NUMSA represents 5,000. Eskom employs about 29,000 workers in South Africa.
A key item in talks up to and through last week’s wage offer was over housing allowances. NUM and NUMSA are seeking a 5,000 rand (US$621) per worker housing subsidy. Resolve of this issue will continue in tripartite talks with the CCCM until 1 December 2009, when a process to finalise and implement the housing allowance will be put in place, said NUM chief negotiator Paris Mashego.
Mashego said the NUM polled its members on the wage offer and housing deferral late last week, and 80% consented to take the offer.
Meanwhile, a NUM strike against Impala Platinum that was set to start today was averted when the world’s second largest platinum miner returned to the bargaining table Saturday and raised its offer. The company offered a 10% increase. The NUM, which represents 18,000 ImPlats workers, cancelled the strike and is currently weighing the offer.