AMCU loses gold sector strike appeal

[miningmx.com] – A GOLD industry strike by the Association of Mineworkers & Construction Union (AMCU) was ruled out by the Labour Court which today said the union must stick by the 2013 wage agreement.

The gold industry agreed an 8% wage increase with the the National Union of Mineworkers, UASA and Solidarity in September last year and then extended it to AMCU as 72% of the sector’s workers had been covered by the agreement.

AMCU, however, launched an interdict to strike anyway saying it wasn’t bound by the agreement which had been negotiated collectively. AMCU appealed the Labour Court’s rejection in January which has now been rejected.

“The decision brings certainty about the binding nature of the 2013 wage agreement, which is in the best interest of employees, the industry, and our country,” said Chamber of Mines chief negotiator, Elize Strydom. “Historically, the gold industry has always conducted wage negotiatons at a centralised level and the process has always been inclusive and fair,” she said.

The strike would have affected operations at Driefontein mine (owned by Sibanye Gold), TauTona (AngloGold Ashanti) and the Kusasalethu and Masimong mines belonging to Harmony Gold where AMCU has representation.

Had the strike proceeded, Sibanye Gold would be most affected with about 42% of its total production derived from Driefontein. Up to a fifth of Harmony’s production was sourced from its mines while AngloGold Ashanti would be least affected (15%).