Transnet and unions representing striking workers on Tuesday failed to reach an agreement during wage negotiations facilitated by the Commission for Conciliation, Mediation and Arbitration (CCMA).
Hundreds of workers represented by the SA Transport and Allied Workers Union and the United Transport and Allied Trade Union have been on a week-long strike over wages.
The workers demand a 12% to 13% wage increase while Transnet says it can only offer levels G and H a pay hike of 3%, 3.5% salary increase for levels I and J, and a pay rise of 4% for levels K and L. The company further proposes an ex-gratia payment of R5 000, before tax, to all employees.
“Transnet salary costs currently make up 66% of total operating costs, which is not sustainable,” said the company after failed attempts to break the impasse at the CCMA.
“We remain willing to find a solution on the wage negotiations, under the auspices of the CCMA. The parties are considering alternative proposals and will reconvene on Wednesday to take the process forward.”
Meanwhile, the South African Federation of Trade Unions (Saftu) general secretary, Zwelinzima Vavi, said the trade union federation stands in solidarity with Transnet’s striking workers, reiterating that Saftu rejects the proposed 3% pay hike offer.
According to Transnet, the company and the unions have signed on the picketing rules and picketing sites.
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