Auto was the first sector to embark on a strike. The strike took a full two weeks before employers finally made an offer worthwhile considering.
The agreement is a three-year agreement and will expire June 30 2013.
Auto wages:
2010-2011 10% across the board
2011-2012 9% across the board (if CPI goes above 9% workers will receive CPI)
2012-2013 9% across the board (if CPI goes above 9% workers will receive CPI)
| Current Rates until 30 June 2010 |
New Rates – From July 1 2010 – 30 June 2011 |
|||
|---|---|---|---|---|
| Skill level | Entry rate | Qualifying rate | Entry rate | Qualifying rate |
| 1 | R31.53 | R35.04 | R34.68 | R38.54 |
| 2 | R35.04 | R38.93 | R38.54 | R42.82 |
| 3 | R38.93 | R43.26 | R42.82 | R47.58 |
| 4 | R43.26 | R48.06 | R47.58 | R52.87 |
| 5 | R48.06 | R53.40 | R52.87 | R58.74 |
| 6 | n/a | R64.08 | n/a | R70.49 |
| 7 | n/a | R76.90 | n/a | R84.59 |
Short-time funding
• employers will continue to put in 10c per worker per hour into plant level short-time funds
• Work Security Fund will be reconfigured and 60% of it transferred to plant level short-time funds
• payouts will happen once legal, financial and tax rules have been sorted out and Registrar has approved in principle
• employers will also continue to access government’s training layoff scheme and UIF.
Labour brokers
• no more labour broker contracts for those in the bargaining unit after 1 January 2011.
Short-term contracts
All short term contract employees to be:
• paid at the entry rate level (see wage rates above)
• entitled to participate in the multi-skilling programme
• entitled to provident fund, death and disability benefits
• entitled to participate in company medical aid or receive cash equivalent
• paid retrenchment pay when contract expires.
CO2 welders and spray painters
• Those who consistently do the work of the above will get an allowance of 10% of their personal wage rate
• Those who sometimes do the work of the above will get the 10% allowance for those hours worked in this capacity.
Workplace restructuring issues
• management and shop stewards will share and consult on issues like scheduled production, manning levels, quality, productivity and market share.
Customs issues – The parties will cooperate to eliminate all illegal imports.
Local content
• The parties will try as hard as possible to achieve the local content targets set by governments auto incentive programme (APDP)
• Employers will discuss industry progress on this issue in forums like the Motor Industry Development Council (MIDC) and others.
Health and safety
Employers will negotiate with the unions on the election of health and safety representatives, the training of these representatives and their functioning in terms of regulation 6 of health and safety legislation.
Statutory bargaining council
Parties agree to the establishment of a bargaining council.
Tyre and rubber agreement
… but excluding Bridgestone/Firestone
Workers in the tyre industry went on strike for one month to secure their new agreement.
But “we suffered a setback at Bridgestone/Firestone,” says Numsa general secretary, Irvin Jim. “This company alone held the tyre negotiations ransom by refusing to give a full 9% to all those workers who are above the maximum of the rate.
We had to suspend strike action at this company and we are continuing to follow the case legally and through negotiations. We might have to embark again on strike action.” Watch this space!
Tyre Wages:
2010-2011 9% across the board
2011-2012 CPI or 7,5%% whichever is the greater (using May 2011 CPI)
2012-2013 CPI or 7,5%% whichever is the greater (using May 2012 CPI)
NB – those receiving above the grade maximums will receive: 9% for year 1, 7,5% for year 2 and year 3 but on the minimum rates of pay
A cash lump sum equal to the difference between the across the board increase on the actual wage rate and the amount received for the period 1 July 2010 to 30 June 2011
Breakthroughs:
• Apollo tyre builders will be remunerated at the Grade 3 minimum rate from 1 July 2010. On 1 July 2011, they will all be moved to Grade 4 minimum rate.
• All employees with 3 years or more service on 1 July 2011 will be moved from their current level to the maximum rate of pay of their grade
• Short-time payment for those working 37,5 hours or longer per week:
• If short-time is less than 10 continuous days, worker will receive 30 hours per week
• If short-time more than 10 continuous days, worker will receive a maximum of 60 hours for the calendar year.
• (NB – check the Agreement to see the conditions under which payment is made)
• Artisans in training or artisan/apprentice will constitute at least 10% of full-time artisans
• Not less than 2 hours pay for each 24hours on standby
• Not less than 2 hours overtime rates if actually called out
• Short term contract workers will be entitled to medical aid, pension/provident fund, death and disability benefit and severance pay
• Employers will not use labour brokers in the manufacture of tyres.
Issues to be followed up:
• Payment for Saturday and Sunday work will be negotiated at plant level
• The parties will cooperate to eliminate all illegal imports.
• The parties will try as hard as possible to achieve the local content targets set by government’s auto incentive programme (APDP) and discuss progress with Numsa leadership at plant level.
• Employers will negotiate with the unions on the election of health and safety representatives, the training of these representatives and their functioning in terms of regulation 6 of health and safety legislation.
• Parties will look at developing a skills-based grading system and the role of the recognition of prior learning in this system
• Parties will contract an expert to survey artisan pay within 3 months of signing the agreement
• Parties will complete a medical aid survey by November 30 2010.
Source
Numsa News No 3, October 2010