NUM, gold producer stand-off in the wings

A STAND-OFF between the National Union of Mineworkers (NUM) and local gold producers is expected after the union reportedly demanded a pay increase of more than 80 percent for entry-level underground workers.

The NUM wants basic pay for the lowest wage band to rise to R10 500 a month, according to three people with knowledge of the matter.

The NUM also wants all other gold employees to get a salary increase of at least 15 percent and an accommodation allowance of at least R3 500 a month, they said yesterday.

Without disclosing the wage demand, Frans Baleni, the NUM’s general secretary said yesterday that this year’s wage talks would address the apartheid wage gap.

“We are fighting to close the apartheid wage gap and to realise the living wage.

“The entry-level point is therefore critical. If we can get that base to rise, then we will have the ability to deal with other levels,” he said.

The wage talks between unions and Anglo-Gold Ashanti, Sibanye Gold and Harmony Gold are expected to begin next month.

The Chamber of Mines has received the NUM’s request, according to Elize Strydom, the chief negotiator at the organisation, which represents gold producers and conducts the talks.

“We are not in a position to discuss the detail of these demands because the chamber and unions will only engage each other at a formal plenary (session),” she said.

Meanwhile, Mineral Resources Minister Ngoako Ramatlhodi said he was worried about the rate at which thousands of jobs were being shed in the mining industry after some of South Africa’s major mining houses announced retrenchment plans amid weak metal prices.

“The cumulative retrenchments we’ve seen are a great worry for us as the regulator of the mining industry. We need bold leadership from all in the industry at this time, in order to decisively tackle this matter,” the minister said.

Harmony planned to cut 400 jobs at its Masimong mine in the Free State, and Lonmin, the third biggest platinum producer, plans to cut 3 500 jobs or 10 percent of its workforce.

Ramatlhodi will meet unions and mine bosses to talk about ways to curb the job cuts in Pretoria tomorrow at the Mining Industry Growth Development and Employment Task Team meeting, which is chaired by him.

According to the Chamber of Mines, the NUM represents 54 percent of employees in the gold sector and Association of Mineworkers and Construction Union (Amcu), which led the five-month wage strike in the platinum belt, represents 19 percent of employees.

Amcu is expected to make its demand public at a press conference in Johannesburg today.