[miningmx.com] – ANGLO American Platinum (Amplats) said it expected to make progress in wage negotiations with the Association of Mineworkers & Construction Union (AMCU) next week as workers went a second month without wages.
“It’s payday in week’s time and for second month in a row workers will take pain and on payday we will see movement in this process,” said Chris Griffith, CEO of Amplats.
A strike called by AMCU at the platinum mines of Amplats, Impala Platinum and Lonmin is now in its 24th day. AMCU is demanding a basic minimum wage of R12,500 per month, an increase the platinum sector said was unaffordable. Platinum producers have countered with a three-year wage offer ranging between 9% and 7%.
Griffith said pressure was increasing on AMCU which was the subject of a damages claim by Amplats as well as a contempt of court charge for breaking picketing rules. A miner was recently killed at Amplats as a result of unruly protests that flouted a court-backed agreement on how and where to picket.
“There is some pressure arising on all sides on AMCU,” said Griffith who also disclosed that Amplats had so far lost some R1.5bn in revenue as a result of the strike, equal to about 4,000 ounces a day or half of group production daily.
Griffith was responding to questions at the results presentation of parent company Anglo American. His comments were supported by Mark Cutifani, CEO of Anglo, who said it was in the interests of South Africa for AMCU to agree on wages.
Asked to interpret South African president Jacob Zuma’s State of the Nation address on February 13 in which he called on the industry and unions to end the strike, Cutifani said the president was asking that management and unions “… to do the right thing”.
“The bulk of industry has agreed on afforable pay increases. Government has brought us together and that’s how I read his appeal.
“If companies are providing you with reasonable pay increase which is consistent with rest of industry, for God’s sake, for the sake of the country, do the right thing,” said Cutifani. He added: “We will do the right thing and hold our ground”.
