Transnet sweetens its wage offer, but labour rejects it as an ‘insult’

Read More

Labour has rejected another improved offer from Transnet after a meeting with management at the  Commission for Conciliation, Mediation and Arbitration (CCMA) on Monday, according to the South African Transport Workers Union (Satawu).

Satawu spokesperson Amanda Tshemese said the state rail, road and pipeline company tabled a new offer of between 4.25% and 5% across the board, but the union is not budging on its demand for 12% to 13.5%.

On Monday, thousands of Transnet workers joined the strike which began last week and will be detrimental to South Africa’s economy.  

Satawu and the United National Transport Union (Untu) concluded the first day of conciliation talks facilitated by the CCMA. The meeting adjourned in the early hours of Tuesday morning.

“The employer is insulting us and our members because they know very well that the inflation rate in this country is 7.6% and what the employer is offering us is way below the inflation rate,” Satawu’s Tshemese said.

Minister of Employment and Labour Thulas Nxesi was also part of the proceedings.

“We have made three commissioners available through the CCMA to come and be able to deal with this because you know that it will be too destructive on our economy,” Nxesi said in an interview with public broadcaster SABC. 

“Our economy, which is in any case weak at this stage, is trying to recover in terms of exports and so on, so it was just an appeal. I will be monitoring this. We are speaking with the Public Enterprises Minister Pravin Gordhan and we will ensure that there must be a resolution to this.”

Transnet spokesperson Ayanda Shezi said the negotiating parties have agreed on the picketing rules. 

“Parties remain committed to reaching an amicable solution with regards to the wage

negotiations when the process resumes on 11 October 2022,” said Shezi.

Meanwhile, a number of companies have flagged the economic effects of the strike. The South African Association of Ship Operations and Agents said that ahead of the festive season, Transnet could see a disruption in its operations, which would be bad for the country’s economy, according to a report by MoneyWeb  published on Tuesday.