Anglo American Platinum has signed a three-year wage agreement with the recognised unions at its operations.
These are the Association of Mineworkers and Construction Union (AMCU), the National Union of Mineworkers (NUM) and UASA.
Chris Griffith, CEO of Anglo American Platinum, says:
“We are very pleased to have reached an agreement, and we welcome the collaborative and constructive engagements with the unions throughout the process.
“We believe this agreement will ensure the business can remain sustainable through the typical PGM price cycles, while our employees will benefit from meaningful pay and other increases.”
The agreement includes:
- An annual increase of R1,000 per month in basic pay in years1, 2 and 3 for bargaining unit employees, or 5.5%, whichever is greater for each year of the agreement;
- The base on which salary-related allowances and pension contributions are calculated will increase over the three-year period to bring it back in line with basic wages; and
- An ex-gratia payment of R1,000 in July 2020 and R1,500 in July 2021.
The agreement will increase the total labour cost-to-company by 7.4% in year 1, 6.1% in year 2 and 6.3% in year 3, or 6.6% on average over the three years.