Motor: Motor settles

Marches by Numsa members paid off as motor employers came back to the bargaining table with new proposals to settle the wage dispute. At meetings held across the country on August 20, Numsa decided to settle:

Chapter 3 (component manufacturers):

9% on current minimums
If you are earning below R12 per hour, a 9,5% increase on your rate of pay.
If you are earning above R12 per hour, a 9% increase on your rate of pay.

Sector 6 (car dealers):

9% on current minimum rates.
No increase for those earning above the minimums.

All other motor workers:

9% increase for those workers earning on the minimum rates of pay.
If you are earning above the minimum rates of pay, a guaranteed personal increase of 8% of the minimum rate of pay on which you are graded.

For example: You are on Grade 3 and earning R10 per hour. The minimum rate of pay in Area A for Grade 3 is R9,63. Your new increase will be: 8% x R9,63 = R0,77. Your new hourly rate will be R10 + R0,77 = R10,77

On scrapping area differentials: Employers have not said they will scrap the area differentials, but they have shown commitment to phase it out by raising workers’ wages in Area B by 14.8% for petrol attendants. Area A will only get increases of between 9%.

Backdating of agreement: Trade unions and employers will try to meet with the Department of Labour soon to pressurise them to gazette the Agreement by September 1 because the current Agreement expires on August 30.