WORKERS at South African Breweries (SAB) who own shares through the Zenzele scheme are to get an average advance payment of about R32,000 when the deal with Anheuser-Busch InBev (AB InBev) goes through, following a hard-fought battle by the Food and Allied Workers Union (Fawu).The deal was struck on Friday, after Fawu had threatened to strike over the issue. The union had complained that while 1,700 SAB managers would receive a $1.9bn early payout on their share options, workers had to wait until the Zenzele scheme matured in 2020.SAB initially offered an immediate payout of about R16,000, which would have been an interest-bearing loan against the value of the shares when they vest. SAB had wanted to charge Zenzele members interest on the prepayment equivalent to 85% of the prime rate.The improved offer, which is largely attributable to Fawu’s determination, doubles the amount proposed originally by SAB and removes the requirement that recipients pay interest on what is essentially ...

Subscribe now to unlock this article.

Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).

There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.

Cancel anytime.

Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.