Seifsa, Numsa return to wage talks after earlier impasse

The Steel and Engineering Industries Federation of Southern Africa (Seifsa) says it wants to continue negotiations with the National Union of Metalworkers of South Africa (Numsa).

Seifsa says it “will continue to keep all channels of communication open with all trade unions in an endeavour to mitigate the impact the strike and the lock-out will have on the industry.

The employer body also warned that while the strike was protected, all worker absences due to the strike would be treated based on no work, no pay.

Thousands of workers were seen at rallies in Durban, Northern Cape, Johannesburg, Eastern Cape and Western Cape.

Unions demands

Numsa hoped Seifsa would return to the table with a meaningful proposal after workers abandoned their posts at shop floors at steel factories across the country.

The sector is vital to SA’s economy: it represents nearly 2% of economic output and employs some 190,000 people.

“We are demanding that employers put on the table an 8% increase across the board for the first year and CPI + 2% improvement factor for the second and third year. If CPI + 2% falls below 6%, employers must offer 6% or reopen negotiations,” said Numsa general secretary Irvin Jim.

Jim urged employers to “move quickly and make a new offer”.

There are concerns the strike will impact the supply chain in the automobile retail sector.

In 2014, 432,000 workers downed tools for nearly four weeks and cost the steel and engineering sector between R300 million and R500 million daily. That resulted in a R6 billion loss for the country’s economy as a whole.

News of Tuesday’s protests saw R68 million wiped from one of the country’s largest steel manufacturers ArcelorMittal SA’s share price on the Johannesburg Stock Exchange. 

Numsa said the strike would continue indefinitely until their demands are met. It reminded members part of the pickets to remain disciplined and maintain Covid-19 safety protocols.