New Tyre Agreement

New tyre agreement, from July 1 2004 to June 30 2007

1. Wages

New wage rates from July 1 2004 to June 30 2005

Across the board increase of 7,5% for all employees from July 1 2004 . Below are the new minimum and maximum rates for all skill levels.

Skill level
Minimum rate
Maximum rate

From July 1 2005 :

the across the board increase will be the same as the May year-on-year CPI-X plus 1%.
If the CPI-X falls below 3,9% then the across the board increase will be 5%.

From July 1 2006

the across the board increase will be the same as the May year-on-year CPI-X plus 1%.
If the CPI-X falls below 3,9% then the across the board increase will be 5%.

2. Severance payments

Two weeks pay for each completed year of service.

3. Health and safety and HIV/Aids

If a company has less than two full-time shop stewards, a part-time shop steward may take up the responsibilities of health and safety and HIV/Aids.
Prostate tests will be run in the same way that pap smears are done.
Shop stewards must discuss the provision of anti-retroviral drugs with their employers at plant level.

4. Working time and labour brokers

1,5 times pay for Saturday; 2 times pay for Sunday
shop stewards must discuss these issues at plant level:- employers’ concerns over shift work on week-ends – averaging of hours, compressed working week, basic hours of work on weekends – securing of benefits for labour brokers and their long term future.

Matters related to working time and labour brokers are ‘interest’ matters. This means that workers can go on strike on these issues and their strike will be protected.

6. Split shutdowns and scheduling of leave

Shop stewards must discuss at plant level.

7. Year end gratuity

Remains the same at 8,33%.

8. Service leave

Remains the same at one-calendar day’s leave pay on completion of one to four years’ service.

9. Work Security Fund

A sub-committee of the Bargaining Council will work to:

find the most tax efficient way of using the monies
develop proposals on how to use the money: – for the training of those workers who are retrenched,- for the development of communities, including funding co-operatives – to acquire property for the Bargaining Council,
recommend at what level contributions should be capped.

10. Training

Employers agree to take on 42 learners per company in terms of the Growth and Development Summit agreement.

11. Short time

If notice of short time is not given in terms of the short time provisions, workers will be paid 4 hours or the number of hours worked before the implementation of short time, whichever is the greatest.

12. Worker indebtedness

The matter was referred to plant level.

13. No further claims

In terms of this clause, the employers and trade unions cannot make any further claims or demands at an industry level and at a plant level on wages and benefit items that are covered by the industry agreement. But they can make demands on these issues if the industry agreement does not cover the issue.

New Motor Agreement to be gazetted on December 2 2004. All motor employers in the ‘old’ South Africa must pay the new rates from December 9