The United National Transport Union (UNTU) and SATAWU, the only two Unions who enjoys recognition in the Transnet Bargaining Council, submitted their consolidated wage demand to Transnet this afternoon for a 12% salary increase for the next three years.
UNTU wants a three-year multi-term agreement with an undertaking from Transnet that there will be no forced retrenchments during this period.
Steve Harris, General Secretary of UNTU, says Organised Labour believes this is a very realistic demand given the current struggling economic climate South Africans are finding themselves in, with prices on all goods soaring daily.
According to Harris, the demand is also justifiable given the fact that Transnet announced on 30 October 2017 that Transnet’s profits has soared to R37.1 billion, that’s thanks to the fact that the company gained market share in general freight cargo and coal volumes. Transnet’s revenue rose by 13.8%.
Labour is demanding that Transnet increase its contribution to employee’s medical aid and to the housing allowance to R1 790 for 2018/2019, R2 500 for 2019/2020 and R3 500 for 2020/2021.
All other allowances paid by Transnet must increase by 12% each year for the next three years.
Labour wants the Funeral Cover that Transnet Employees enjoy, to continue after the retirement of employees, but to the cost of Transnet.
Lastly Labour wants Transnet to increase its current contribution to employee’s medical aid after retirement from the current R213 to R1 500 2018/2019 and thereafter with 12% each year.
Labour also wants all its demands to be implemented from 1 April 2018 and that the agreement must be signed before the end of the year to ensure that employees don’t have to wait for back pay.
Tumelo Mokoena, Transnet General Manager Human Capital, responded that Labours demand was very high in their view. “We are still going to cost it.”
According to him Transnet is considering the settlement patterns over the past two years, the cost of living and the sustainability of the wage demand. Transnet has agreed to a no retrenchment clause with Labour over the past six years.
“Our summary is that the demands are a very taxing list of issues. We will go and cost it and come back to you,” he says.
Transnet agrees that the wage increase must be implemented no later than 1 April 2018.
The negotiations are scheduled to continue 27 November 2017 at the Transnet Bargaining Council.
Issued on behalf of UNTU by Sonja Carstens, Media and Liaison Officer. For UNTU Press Statements phone 082 463 6806 or e-mail sonja@untu.co.za.
