SIBANYE-Stillwater has reached agreement with the Association of Mineworkers & Construction Union (AMCU) on a five-year wage agreement for employees at the platinum group metal (PGM) mines.
The final agreement is consistent with Sibanye-Stillwater’s previous offer to AMCU except there is a fixed annual wage increase of R1,300 and R1,400 in years four and five – or 6% – whichever is the highest. The previous agreement linked the increase in the last two years to the rate of inflation as per CPI.
In September, AMCU declared a dispute with Sibanye-Stillwater following nearly three months of wage negotiations. The National Union of Mineworkers and UASA, which accepted Sibanye-Stillwater’s prior offer before AMCU called a dispute, will be offered the new deal, as well as non-unionised employees.
Miners and artisans will receive average annual wage increases of 6% a year for each of the five years, said Sibanye-Stillwater. The increases in other benefits remain the same as the previous offer.
“We are pleased to have concluded these wage negotiations timeously and expediently, without disruption or the need for third party intervention,” said Neal Froneman, CEO of Sibanye-Stillwater.
“The annual wage and benefit increases that have been agreed are in line with inflation and secure a five-year period of stability at the Rustenburg and Marikana operations, which will be beneficial for all stakeholders,” he said.
“The agreement reached with AMCU and other representative organised labour unions, is consistent with the recent wage increases concluded at our SA gold operations, a precursor to these negotiations, with a total estimated average increase in the wage bill, including all benefits, over the five-year period of approximately 6.3% per annum.”
