Johannesburg, South Africa — MININGREVIEW.COM — 01 September 2011 – South Africa’s National Union of Mineworkers (NUM) says it has agreed a two-year wage deal with Anglo American Platinum, the world’s top producer of the precious metal which accounts for about 40% of global supply.
Amplats shares extended gains to trade 1.6% higher amid investor relief that strikes would not threaten a full-year output target of 2.6Moz of platinum, while the wage settlements that were agreed upon came as no surprise.
The union said Amplats had agreed to raise wages by between 8 and 10%, depending on worker category. The union had most recently demanded a 15% rise.
NUM’s wage talks with Impala Platinum are now in arbitration, while negotiations with Northam Platinum and Lonmin are expected to resume this month.
South Africa’s economy, including its key mining sector, has been hit by a wave of strikes over the past couple of months and most agreements have seen offers well above the inflation rate, which was 5.3% in July.