NUM, BHP coal wage talks collapse

[miningmx.com] — THE National Union of Mineworkers (NUM) on Tuesday said wage negotiations with BHP Billiton’s South African coal division had reached a stalemate and a dispute has been declared.

The NUM is demanding 10% while the company is offering 8.5%. BHP Billiton Energy Coal South Africa is one of the largest energy coal exporters in the world, owning and operating four collieries – Douglas, Khutala, Klipspruit, Middelburg – in Mpumalanga.

“The company can afford a 10% and a R4 000 housing allowance,” said Paris Mashego, the NUM’s regional secretary in the Highveld region.

The trade union cited the group’s recent results, saying it had recorded a 5% increase in revenue to $52.8bn while operating profit was up 65% to $20bn.

“It is quite shocking to learn that management will be receiving a salary increase of up to 9% based on their performance. This means that a highest paid manager will receive an increase of R144 000 per annum, whilst a lowly paid worker will receive a lousy R5 712 per annum,” said Mashego.

The NUM has referred the wage dispute to the Commission for Conciliation, Mediation and Arbitration (CCMA) and awaits the outcome of the process.

BHP Billiton Coal employs over 6 000 workers, said NUM.