CCMA steps in to solve gold sector pay dispute
Chamber is acting in bad faith – unions
ATTITUDES in the wage negotiations between unions and gold producers have hardened, raising the likelihood of a strike as the Commission for Conciliation, Mediation and Arbitration (CCMA) engaged the parties in a last-ditch effort to contain the situation.
Unions in the industry have accused the Chamber of Mines of negotiating in bad faith and have demanded that the producers open their financials for scrutiny or face a deadlock that could lead to a strike.
The National Union of Mineworkers (NUM), which is the largest employee representative in the sector, yesterday warned that the collapse of the talks could lead to industrial action with devastating consequences for the country.
Deadlock risk
NUM spokesman Livhuwani Mammburu said the parties remained in dispute and this could escalate into a deadlock if no solution was found.
“We are willing to give the CCMA negotiators a chance to mediate in the dispute but we are also hopeful that the employers would also negotiate with us in good faith,” said Mammburu.
“Anything else is something that no one would want and it could leave us all in a difficult situation.”
The two-day mediation by the CCMA, which started yesterday, is aimed at finding a solution to the dispute that has left the industry open to a devastating strike that could harm its already fragile outlook.
The mining industry contributes almost 7 percent to the country’s economy.
But at the moment, the industry is plagued by low commodity prices and rising costs, which have forced a number of companies into mine closures and lay-offs.
As the talks continued yesterday the gold price weakened by 0.24 percent to $1 105.65 (R14 054) an ounce.
Negotiations between the parties broke down earlier this month after the NUM and Association of Mineworkers and Construction Union (Amcu) rejected the mining houses’ offer and contended that all producers table a common position.
The chamber withdrew its revised offer charging that the demands were made on behalf of employees in the same recognition units.
The chamber also argued that the disputes arose from the same collective bargaining process, in the same forum and involved similar issues; and the consolidation of the offer would circumvent long delays and additional costs.
Yesterday the chamber said that it was hopeful that the parties would move closer to reaching an agreement.
Spokeswoman Charmane Russell said while the chamber had reverted back to its initial offer after the unions rejected a revised proposal, it hoped that the CCMA would be able to resolve the dispute.
“It is too early to tell how the talks would go but we are very optimistic that the parties find each other,” said Russell.
“We want to engage constructively and meaningfully to reach an agreement that would ensure that we make the industry sustainable and save jobs.”
Demands
The NUM wants a R10 500 a month basic salary for the lowest paid workers and a 15 percent increase across all categories, including artisans and mine officials while the Association of Mineworkers and Construction Union (Amcu) demands R12 500 a month basic salary for members.
The companies on the other hand, AngloGold Ashanti, Sibanye Gold, Harmony Gold, Pan African Resources’s Evander Gold Mines and Village Main Reef have tabled offers of between 7.8 percent and 13 percent at the entry level.
The unions said the revised offer did not take into account benefits such as medical care and pension funds.
Amcu was not immediately available for comment.
Uasa slammed the Chamber of Mines’ decision to withdraw the revised offer, charging that it pointed to the difficulties with which the negotiators might have to deal.
Uasa spokesman Franz Stehring said the decision had hampered hopes of finding a solution with some unions while continuing the negotiations with the others.
Solidarity also accused the chamber of negotiating in bad faith, with the union’s general secretary, Gideon du Plessis, said the chamber had lost its moral compass
“Solidarity is trying to act responsibly and in the interest of the gold industry but the Chamber of Mines is irresponsible in its actions and thwarts efforts intended to ensure sustainability,” Du Plessis said.