BL Premium reports that the two largest unions at Transnet have demanded wage increases five times the rate of inflation, citing a variety of issues facing workers.
In what could be a sign that both parties recognise the high stakes and the strong likelihood for disagreement, the parties signed picketing rules two weeks before the negotiations even started on Tuesday. Transnet has offered an increase of inflation plus 4.5% in the first year of a three-year deal and inflation plus 0.5% in the second and third years, totalling a cumulative 14.5%. Consumer Inflation is hovering around 3%. The SA Transport and Allied Workers’ Union (Satawu) is demanding a 17.5% three-year hike. The United National Transport Union (Untu) wants a one-year, 12% across-the-board increase. Union leaders say their demands reflect the escalating costs of education, housing and healthcare even though overall inflation has eased. Satawu also wants a freeze on job cuts while the deal is in force and cheaper medical aid. “The union is rather disappointed by the management’s approach … We are hopeful that the management will table a decent and reasonable offer,” Satawu’s Amanda Tshemese commented. Untu’s Atenkosi Plaatjie said: “It is evident that management is employing positional negotiation strategies, and we are concerned that this approach will hinder progress.” Untu also wants a no-retrenchment provision, a R2,750 monthly housing allowance, a R2,950 medical aid allowance, overtime capping to be removed and for the wage talks to be concluded by 1 April.
- Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive (subscriber access only)
- Read too, Transnet and trade unions square up over wage demands, at Moneyweb
Get other news reports at the SA Labour News home page