S.Africa’s NUMSA rejects new wage offer, engineering strike continues

Economy43 minutes ago (Oct 14, 2021 01:45AM ET)

(C) Reuters. FILE PHOTO: Members of the National Union of Metalworkers of South Africa (NUMSA) hold placards as they gather ahead of an indefinite strike, threatening to choke supplies of parts to make new cars and accessories, in Johannesburg, South Africa, October 5

CAPE TOWN (Reuters) -South Africa’s biggest engineering union, NUMSA, has rejected a new wage offer as a national strike that has already hit output at car maker BMW enters its second week on Thursday, employer body SEIFSA said.

The National Union of Metalworkers of South Africa (NUMSA), with around 155,000 members organised in the sector, have been on strike since Oct. 5 to press for higher wages, an action that could hit supplies of parts to make new cars and accessories.

On Monday, luxury car maker BMW said it lost production at its main vehicle assembly plant in South Africa when a number of suppliers were affected.

“Regrettably at the conclusion of last night’s meeting we can report that we do not have an agreement,” Lucio Trentini, chief executive at industry body Steel and Engineering Industries Federation of Southern Africa (SEIFSA), told Reuters.

“We will regroup this morning and plot the way forward. The revised and improved offer has been rejected,” he added, after NUMSA took a revised offer to the members last week.

The strike was launched after wage talks hit a deadlock and arbitration failed, with NUMSA demanding an 8% across-the-board wage rise in the first year, and inflation plus 2% for the second and third years.

SEIFSA had offered 4.4% for 2021, inflation plus 0.5% in 2022 and inflation plus 1% in the third year.

A NUMSA spokeswoman did not comment and said the group planned to have a media briefing later in the day.

S.Africa’s NUMSA rejects new wage offer, engineering strike continues

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

About the author