| Mon 21 Jul 2003, 9:44 | | Digging Deep |
|
Wage negotiations in the gold and coal mining industry are on a knife-edge after a fifth company broke ranks with the Chamber of Mines and offered its workers a separate wage deal in a bid to avert a potentially crippling strike.
Placer Dome, which jointly owns and runs the South Deep mine, said on Friday it would raise wages by between 9% and 9.5%, joining AngloGold and three coal producers who have also bid above the chamber's offer.
AngloGold is offering its workers between 9.5% and 10%, while coal producers Xstrata, AfriOre and Kangra are offering 10%.
This compares with the chamber's 8.75% wage increase for gold miners and 9.5% for workers in coal mines, a move that prompted the National Union of Mineworkers (NUM) to file notice that 160 000 of its members would begin a strike on Sunday.
If it goes ahead, it will be the first nationwide stoppage in the mining sector since 1987.
And despite Placer Dome's offer, NUM said South Deep was still on the list of six gold and coal companies due to experience strikes. This contradicts a chamber statement that the strike threat had effectively been lifted.
"We were issued a certificate to strike by the CCMA [Commission for Conciliation, Mediation and Arbitration]," said NUM spokesman Moferefere Lekorotsoana. "Only they can amend the certificate or issue a new one. We will have to wait until Monday for that."
Lekorotsoana said while the NUM had received South Deep's new offer, "we have not been able to check with our members ".
Nevertheless, the latest development appears to shift the balance in favour of a settlement and the current negotiations are shaping up to be a repeat performance of 2001, when a deal was struck just 24 hours before a scheduled general strike.
Then too, AngloGold broke ranks with the chamber and unilaterally increased its wage offer to break a deadlock, a move that was quickly followed by the rest of the chamber's members.
AngloGold spokesman Steve Lenahan would not speculate on the chances of the revised offers being accepted. "We are continuing with negotiations and hope for an early settlement."
Frans Barker, the chamber's chief negotiator, played down talk of a split in the chamber. It was "normal at this stage of negotiations" for mining companies to conduct their own talks.
Barker also expressed optimism that the talks would ultimately be successful. "We are obviously working very hard to avoid a strike and have not given up hope by any means," he said.
"We are going to try to get an agreement; not sit back and wait for things to happen."
Barker agreed that the revised South Deep offer could improve the chances of an across-the-board settlement but added that the issue of job grading remained a difficult hurdle.
The union is demanding that operators, who are currently classified on the second-lowest pay level, be upgraded to the highest paid level. Barker said that while there might be room for upgrades in some categories, it would require careful study and comparisons with pay scales elsewhere on the mines.
"You have to be careful that it does not become a disguised form of wage increase," he said.
Nevertheless, the talks have come a long way, with agreement reached on retirement fund contributions, a minimum wage of R2 000 within the next 12 months, an increase in annual leave to 30 days and paid maternity leave.
The chamber and workers have also agreed that the wage deal will be valid over two years.
Gol d miners will receive a pay increase equal to inflation in the second year and coal miners inflation plus 1%
