News


Wage negotiations deadlocked

16 August 2017 News

At the time of writing, wage negotiations are ongoing in the engineering and steel industries.

While trade unions have applied for a certificate to launch strike action within the South African engineering sector, this does not necessarily mean that strikes are now inevitable, nor that such action is the only option still available to workers in the sector.

That’s the view of Gordon Angus, executive director of the South African Engineers and Founders Association (SAEFA). SAEFA has appointed an independent lead negotiator to represent employers in the current wage negotiations with engineering and steel sector workers and their unions. “The reality is that strike action will be extremely detrimental to employees and the sector as a whole,” Angus emphasises, “not to mention the additional pressure that it will bring to bear on the already tenuous economic situation in the country.”

Angus points to Jonathan Goldberg’s appointment as an independent negotiator by SAEFA, at its own expense, as a clear indication by the Association and the more than 400 businesses it represents of their sincere desire to reach a solution that will prevent strike action while also setting a solid and realistic foundation on which the sector can build going forward.

However, he points out that reaching such a solution requires the same level of commitment by the labour representatives to acting in the best interests of all parties, particularly the financial wellbeing of the employees they represent.

“Offers presented by employers have been summarily dismissed by unions, indicating the absence of a sincere desire to reach a sustainable solution that benefits all parties,” Angus explains, “but rather a predisposition by the union towards strike action.”

He points in particular to NUMSA’s outright rejection of a proposal of a reduced entry-level wage for new employees in the sector as indications of the union’s unwillingness to find a solution that promotes the long-term sustainability of the sector.

“SAEFA and the other employer representative associations have repeatedly assured employees that the proposed lower hourly wage (initially proposed at R20 per hour, the same level as the national minimum wage) is only for new, unskilled employees in the sector,” he says, “and that this will never be passed on to existing employed, trained and experienced workers.” However, he says that unions appear unwilling to trust that this is the case, nor that the intention behind the lower entry-level wage structure is to make it financially viable for the industry to provide further work opportunities and training to even more South Africans, thereby helping to reduce the sharply rising and wholly unsustainable SA unemployment rates.

“I am confident that, if the parties are willing to come to the table with an open mind, and a willingness to consider all viewpoints and concerns, a solution can be found that avoids the potentially devastating consequences of industrial action, Angus concludes, “but agreeing on that solution will require a sincere commitment by the employers and the union to set aside any other agendas they may have and negotiate with the best interests – both current and future – of the entire industry in mind.”

For more information visit www.saefa.org.za





Share this article:
Share via emailShare via LinkedInPrint this page

Further reading:

From the editor’s desk: Windows 10’s end of support arrives bringing industrial risks
Technews Publishing News
By the time you read this column, support for non-LTSC editions of Windows 10 will have ended, officially having their last day on 14 October 2025. This means no more security patches, feature updates, ...

Read more...
Electronic News Digest
News
A brief synopsis of current global news relating to the electronic engineering fields with regards to company finances, general company news, and engineering technologies.

Read more...
Correction: Marijana Abt, Rebound Electronics
News
      In the August issue of Dataweek magazine, the article titled ‘Celebrating innovation, leadership, and the next generation’ featured Marijana Abt, senior account manager at Rebound Electronics. Owing ...

Read more...
Trasna and RF Design announce distribution agreement
RF Design News
Trasna and RF Design have announced a strategic distribution agreement for cellular IoT solutions which will ensure seamless availability of Trasna’s cellular connectivity solutions.

Read more...
Local partnership puts demand-side management to work in South Africa
News
Sensor Networks has partnered with European demand-side management specialist ThermoVault to bring advanced load-shifting capabilities to one of the country’s biggest energy consumers: the household geyser.

Read more...
Hisense SA launches year-long learnership programme for youth
News
Hisense SA’s manufacturing plant in Atlantis recently welcomed 100 young people from the local community, to embark on a year-long learnership and skills development programme.

Read more...
Comtest hosts channel partners
Comtest News
Comtest, together with FLUKE, recently set the stage for an unforgettable afternoon as they welcomed over 80 Channel Partners to their annual celebration of excellence.

Read more...
RS South Africa and Qhubeka empower learners through the gift of mobility
RS South Africa News
Through its bicycle donation initiative, 354 bicycles have been distributed to date, empowering students to access education more easily by reducing the physical and economic barriers posed by long daily commutes.

Read more...
Deca and SST announce strategic collaboration
News
The collaboration provides customers with a modular, memory-centric foundation for advanced multi-die architectures.

Read more...
Specialised Exhibitions transitions to new name: Montgomery Group Africa
News
As part of a strategic move to streamline operations, strengthen regional alignment, and support long-term growth, Specialised Exhibitions has transitioned to a new name: Montgomery Group Africa.

Read more...









While every effort has been made to ensure the accuracy of the information contained herein, the publisher and its agents cannot be held responsible for any errors contained, or any loss incurred as a result. Articles published do not necessarily reflect the views of the publishers. The editor reserves the right to alter or cut copy. Articles submitted are deemed to have been cleared for publication. Advertisements and company contact details are published as provided by the advertiser. Technews Publishing (Pty) Ltd cannot be held responsible for the accuracy or veracity of supplied material.




© Technews Publishing (Pty) Ltd | All Rights Reserved