“This agreement is effective from May 1, 2014 until April 30, 2017. The NUM wishes to express its sincere gratitude to its members at De Beers for the manner in which they behaved during the negotiation period up until they gave us the mandate to sign the agreement,” said Dusty Ngwane, union acting chief negotiator at De Beers.
“Our members will be receiving a back pay plus an increase, which will come in handy before the December holiday. Six months after this, they will be getting an increase again in May 2015,” Ngwane said.
He said the union was pleased with the agreement because even though the matter remained unresolved at the Commission for Conciliation, Mediation and Arbitration (CCMA), and the union was given a certificate to strike, the union used its maturity and skill in further engaging the company robustly which resulted in such a beneficial agreement.
In terms of the agreement, employees would receive an increase of nine percent over the three-year period.
There was an agreement on a home ownership subsidy which would be implemented as of October 1, this year.
The subsidy would be 25 percent of the mortgage bond instalment per month and not exceeding R1000 per month in the first year.
In 2015, the subsidy would be 25 percent of the mortgage bond instalment per month not exceeding R1060 per month.
In 2016, the subsidy would be 25 percent of the mortgage bond instalment per month not exceeding R1124 per month.
These amounts had no bearing on the company’s facilitated home ownership programme, he said.
Housing allowance would be R500 as of October this year. It increases to R530 in the second year and R562 in the third year.
The agreement also included annual leave.
“Medical aid has been referred to the Central Forum which will be sitting on the November 3, and whatever the settlement, there will be backdating,” he said.