JSE-listed Village Main Reef has concluded a gold wage agreement with the representative unions at the company’s gold mining operations, the Chamber of Mines (CoM) of South Africa advised on Monday.

The two-year agreement, concluded under the auspices of the CoM during the 2015 gold wage negotiations, allows for increases of R1 000 and R800 for Category 4 to 8 underground and surface employees respectively, and increases ranging between 5.5% and 6.5% for miners, artisans and officials.

“Village Main Reef’s approach is focused on increases to basic wages because the company’s Tau Lekoa mine, in the North West, has a short life span. We are pleased that the parties have been able to engage and conclude an agreement with no disruption to the business.

“The agreement was reached within a flexible negotiating structure which has evolved over a number of years to allow for companies with vastly different economic and operating circumstances to be accommodated,” Chamber of Mines chief negotiator Dr Elize Strydom said on behalf of the producers.

Wage negotiations between the unions and gold producers AngloGold Ashanti, Evander Gold Mines, Harmony Gold and Sibanye Gold are continuing. Bilateral meetings between the companies and unions have been concluded and a further collective meeting will be held later this week.

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