[miningmx.com] – SOUTH African gold miners represented by the country’s Chamber of Mines said its latest two-year wage increase of 6.5% for entry level workers was its final offer.
This paves the way for possible strike action from as early as next week if the gold sector’s majority union, the National Union of Mineworkers (NUM), stuck by its refusal to accept anything but its own, unmodified demands first tabled in July.
The union said on Sunday it would embark on strike action if employers didn’t bow to its demands which include a 60% wage increase demand for entry-level workers.
The gold producers’ offer comes amid an increase in the gold price which hit a 15-week high earlier today on tensions in Syria where the US and the UK are mulling a military strike.
Spot gold achieved its highest since May 15 at $1,423.49 an ounce earlier on Tuesday, according to a report by Reuters. The gold price had retreated slightly to $1,415/oz towards the end of the trade in New York.
The Chamber of Mines – which represents AngloGold Ashanti, Gold Fields, Rand Uranium, Harmony Gold, Evander Gold, Sibanye Gold, and Village Main Reef – also offered a 6% increase in basic wages to category 6 to 8 workers, artisans and miners.
In addition, living-out and accommodation allowances would be increased in accordance with inflation while the chamber also employees within the bargaining unit an opportunity to earn an additional 1% on basic wages.
Elize Strydom, chief negotiator for the gold producers, said the gold industry remained in “… a perilous financial position, and can ill-afford further increases or indeed industrial action”.
“We need a sustainable agreement that will preserve our mines, and consequently jobs. At an entry level this increase translates into guaranteed remuneration of R9,170 per month,’ Strydom said.
