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SAICWU, RCL Foods sign wage settlement agreement

SAICWU is excited that the wage agreement with RCL Foods was concluded without any strikes, violence, intimidation or loss of life.

The South African Industrial Commercial and Allied Workers Union (SAICWU) has reached a three-year multi-term wage deal with RCL Foods.

The wage deal, effective from the start of June 2019 until the end of May 2022, is for workers at the RCL Foods Groceries Division in Randfontein.

“The agreement provides increases on basic wages of 20 per cent in the first year, 10 per cent in the second year and another 10 per cent in the third year, with entry-level employees benefiting from higher percentage increases,” said Simon Munyai, President of SAICWU.

He said that the genuine and loyal SAICWU members were quite pleased and excited that the wage agreement had been concluded without any strikes, violence, intimidation or loss of life.

Stephen Heath, chief legal officer of RCL Foods, said that in an attempt to narrow the gap between the highest paid and the lowest paid employees, the company proposed, and SAICWU accepted, a sliding scale increase awarding a higher percentage to the lowest paid or entry level employees and lower percentage increases to the higher paid employees.

“The average increase per year across all employees for the three years of the agreement, however, amounted to 7,5 per cent. This was made up of an average of 8,23 per cent for the first year; 7,73 per cent for the second year; and 6,67 per cent for the third year,” Stephen said.

He added that separately from the negotiations and the agreement, but part of the company’s commitment to gender equality, they plan to commence employing women on the production line.

“The road to economic liberation is not an easy one and the decision to sign a settlement was not taken lightly. Our objective has always been and will always be to fight for our members to earn a decent living wage,” Simon said.

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