Statement by Andre Venter, spokesperson of the trade union UASA:
The composition of the unions eligible to negotiate during this round is somewhat different from previous rounds as per the official CoM figures reflective of the total workforce:
| NUM | AMCU | Solidarity | UASA | No Union | Total |
|---|---|---|---|---|---|
| 51051 | 27304 | 2312 | 6261 | 7679 | 94607 |
| 53.96% | 28.86% | 2.44% | 6.62% | 8.12% | 100% |
Against the backdrop of the devastating AMCU strike in the Platinum belt, and the terrible lessons learned regarding various contributing factors such as the distribution of misinformation as well as the signs of inexperienced, inadequate and weak leadership, the pending negotiations at the CoM will be approached with the utmost care and strong leadership from UASA's skilled and experienced negotiators.
Due to the huge inequalities and historical discrepancies in the mining industry, it is UASA's contention that it will be a mistake to follow the traditional CPI-based approach when formulating wage demands in 2015. Our members at entry level would like to see these inequalities addressed, hence they are resistant against the notion of percentage pay increases. The members insist to know exactly what the effect of an increase will be on their take-home pay and that the latter should be easily understood by anyone in their respective households.
In respect of the higher income groups, the CPI accounts for differences in expenditure/income groups' spending patterns, giving a larger weight to the spending of the top 20% (R142 084 per annum and more). This group spends comparatively more on goods and services such as medical expenses, education fees, electricity and the like. In the event that electricity and administered prices increase, the impact is greater than just the normal CPI figure.
In view of the above, UASA has been mandated to move away from the traditional "basket of items" approach. As a consequence, we have structured our demands to gain the maximum increases in respect of basic take-home pay, plus incentivising members to pursue maximum productivity without compromising safety, thereby assuring a better quality of life for members after retirement.
This approach thus far yielded positive results at concluded negotiations at Gold Fields and Master Drilling. The settlements reached during the aforementioned negotiations turned out to be substantially more beneficial to our members with higher than CPI settlements.
UASA expresses the hope that our trade union partners will take cognisance of the current environment in respect of commodity prices, productivity levels, decline in grade quality at some operations, lifespan of mines and other relevant factors. The current state of our industry requires a new approach in respect of wage negotiations to ensure the viability and sustainability of the industry, and for that reason UASA took the lead with our fresh, new and realistic approach to wage bargaining.
