South Africa’s National Union of Mineworkers (NUM) and coal producers said on Thursday they had signed a three-year wage agreement, avoiding a strike that had loomed in the sector.
NUM said in a statement the deal, which will see wages rise by up to 7.5 percent, was effective from 1 June 2017 for officials in most coal firms, and 1 July 2017 for lower level employees, miners and artisans.
“The NUM wishes to express its sincere gratitude to its members in the coal sector for the manner in which they behaved during the negotiation period until they gave us the mandate to sign this wage agreement.”
Earlier this month, the NUM threatened a strike in the coal sector after wage talks with producers stalled, a move which would have hit output of a commodity that generates 85 percent of South Africa’s electricity.
The Chamber of Mines, which represents producers, said the deal not only represented “a reasonably balanced outcome but will also secure stability in the industry for a three-year period”.
“This is in the best interests of employees, the industry and the country as a whole,” head of employment relations at the Chamber of Mines, Motsamai Motlhamme, said.
Coal producers that signed the deal include Anglo American Coal SA, Exxaro Coal, Glencore, Msobo Coal, Koornfontein Mines and Delmas Coal.
The Chamber of Mines said other labour unions representing workers in the sector, namely the United Association of South Africa (UASA) and Solidarity, had previously accepted its wage offer, and the parties would meet in due course to finalise the agreement.
African News Agency (ANA)
