Employees of the Passenger Rail Agency of South Africa (Prasa) will get an 8% salary increase, on their total guaranteed package at the end of June 2017, after the negotiation team of the United National Transport Union (UNTU) signed a wage agreement with the company for the current financial year at the Prasa Bargaining Forum on the evening of the 19th May 2017.
The agreement, which includes an undertaking that the passenger rail operator will not implement any retrenchments in the current financial year, will be backdated to 1 April, says Eddie de Klerk, Acting General Secretary of UNTU.
According to the agreement, Prasa will also introduce new medical aid brokers to its employees allowing them to choose from a variety of medical aids, which enables them to make a better selection to suit their unique needs and financial situations.
De Klerk and Wyndham Evans, President of UNTU, congratulated the UNTU negotiation team on a job well done in a very difficult economic climate.
UNTU started the negotiations demanding a double-digit salary increase in February. Unfortunately, the unforeseen decision to fire former Finance Minister Pravin Gordhan, which resulted in the economic status of the country being downgraded to “junk” had a negative impact on the negotiations.
It was only after the appointment of Lindikhaya Zide, the current Acting Chief Executive Officer of Prasa that the company came clear with the fact that it would have to rationalize its workforce, which would result in job losses, if it had to meet the demands of labour.
As a responsible Trade Union, it is paramount for UNTU to prevent job losses and to protect the benefits that our members enjoy.
For more information contact Eddie de Klerk on 082 567 6638.
Issued on behalf of UNTU by Sonja Carstens, Media and Liaison Officer.
