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South Africa’s NUM Ends Strike at Kumba Resources

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7 August, 2006

ICEM South African affiliate National Union of Mineworkers (NUM) ended an eight-day strike today against Kumba Resources. Following a series of meetings over the weekend at branch level with NUM’s 4,000 members employed at Kumba, the strike ended after top executives of the company entered talks.

National union leaders joined the talks beginning on Friday, and consultations continued with the company over the weekend.

“Our members are pleased with the outcome as presented to them after our talks with the chief executive of Kumba,” said NUM General Secretary Frans Baleni. “The discipline of our members while on strike deserves praise and their ability to compromise for purposes of settling the strike is commendable.”

The strike severely affected operations at some six Kumba mines, including iron ore pits, three coal mines and a dolomite mine. The NUM was the largest of four unions in negotiations with Kumba, currently 67% controlled by AngloAmerican. The union struck on 30 July and union members of the Black Allied Mining and Construction Workers’ Union (BAMCWU) followed NUM out on strike. Trade union Solidarity staged a two-day strike on 31 July and 1 August, but then accepted the company’s wage offer. ICEM affiliate National Union of Metalworkers of South Africa (NUMSA) represents a small number of workers at Kumba

NUM struck in efforts to achieve an equitable wage package, and to gain maternity leave improvements and housing increases. Those issues were achieved, with top leaders of the company agreeing to the NUM’s demand of 9% for low-wage workers over the weekend. NUM’s demand for an 8% pay hike for higher wage earners was compromised when the union accepted 7.75%. But it is understood that various allowances will now be implemented to push that to 8%. The NUM paid special tribute to the 900 workers of BAMCWU who stood strong with South Africa’s dominant miners’ union.

Kumba is a product of South Africa’s Black Economic Empowerment (BEE). AngloAmerican is currently in the process of splitting the company in half, with the global mining house to retain iron ore operations. Kumba’s coal and base metals production, including zinc and titanium, will be split into South Africa’s largest black controlled company, Exxaro Resources, after sale is finalised to Eyesizwe of South Africa. That is expected to occur later this year.