Sibanye-Stillwater secures wage deal in US, but unions in SA hold out
Settlement with American steel workers amounts to annual increase of 3.8% a year for the next 36 months
The world’s largest platinum group metals (PGMs) producer Sibanye-Stillwater has reached a three-year wage deal with a labour union in its East Boulder mine in the US.
The deal with United Steel Workers International Union covers a broad range of terms including average annual wage increases of 2.5% in 2022, 3% in 2023 and 3% in 2024, Sibanye-Stillwater said in a statement on Wednesday.
In addition to base increase in 2022, workers will receive increased benefits and incentives, resulting in an effective average increase of 5.4% for 2022 if all safety and quality deliverables are met, the company said.
This settlement amounts to an annual average increase of 3.8% a year for the next three years, which compares favourably to US inflation, which rose to its highest level in four decades in January at about 7% year on year.
Meanwhile, its gold operations in SA face potential industrial action after four unions, including the National Union of Mineworkers and the Association of Mineworkers and Construction Union, rejected the company’s offer to increase monthly pay by R700 for the next three years. The unions are demanding an increase of R1,000 over that period.
The gold operations consist of underground mining and surface treatment facilities at Beatrix, Driefontein and Kloof.