Transnet strike: Unions reject latest wage offer

Unions have rejected the latest Transnet-tabled three-year wage offer to end the ongoing strike.

The United National Transport Union (Untu) and the South African Transport and Allied Workers’ Union (Satawu), have been on strike for over a week as they demand more than a 10% increase.

The new offer was tabled by Transnet on Wednesday following days of wage talks, facilitated by the Commission for Conciliation, Mediation, and Arbitration (CCMA), between the unions and other government officials.

The state-owned freight utility said the negotiations have been a delicate balancing act for the company-mindful not only of the affordability and sustainability of the wage increases for the business but also having a full appreciation of the cost pressures that employees face currently.

4,5% across-the-board increase

Transnet spokesperson, Ayanda Shezi said the wage offer, which would upon acceptance be effective from April 1, entails a 4,5% across-the-board increase in the current year, which will be implemented from October, a 5,3% increase in 2023/24 and a 5,3% increase in 2024/25.

Shezi said a 4,5% increase in the medical aid allowance in 2022/23, will be adjusted in line with the ATB increase in the subsequent two years.

“The back-pay will be paid in two tranches – three months’ back-pay on November 15, and three months back-pay on January 16. While the parties have not settled on this offer, engagements are ongoing.

“The company remains committed to concluding the wage negotiations speedily and amicably, in the interests of employees, the company, and the economy,” said Shezi.

However, unions maintain that they will not deviate from their demand.