The National Union of Metalworkers of South Africa (NUMSA) will be holding the first round of wage talks in the Motor sector from the 10th to the 11th of April. This is a sector which covers over three hundred thousand workers who fall under the Motor Industries Bargaining Council (MIBCO) and we will be negotiating under the auspices of MIBCO. The parties to MIBCO are the Fuel Retailers Association (FRA) and the Retail Motor Industry Organization (RMI). The sector covers employees who are working for petrol garages, car dealerships vehicle body builders, tyre shops, after-market sales and parts, and component manufacturing companies. The wage agreement expires on 31 August 2025.
Rationale for the demands:
NUMSA represents the working class and the majority of our members are earning very low wages. Our demands are informed by the reality of the negative impact of the cost of living. The facts are that the majority of Black and African workers continue to earn the lowest wages. Research by SatsSA found that about half of the 13 million workers in South Africa earn below R5,400 a month, meaning most of the earnings are concentrated at the top. And there is a racial discrepancy where white workers still earn much more than Coloured, Indian and African workers, with Africans being the lowest paid. The report published by StatsSA on the 7th of May 2024, states,
“In terms of racial distribution, the median salary among white workers is R21,000, versus the lowest median of R4,700 among black South Africans”
The report goes on to say that the median monthly earnings for the white population group was R21 000, while it was R15 000 for Indians/Asians, R5 000 for coloureds, and R4 684 for black Africans. Women continue to earn the lowest monthly median at R4 800, compared to men. Unfortunately the wages of workers increased by a tiny R800 between 2017 and 2020 from R4400 to R5200. Our members are struggling to survive on what they are earning. They spend the bulk of their wages on food, rent, electricity, and transport to and from work. This has been confirmed by research by the Pietermaritzburg Economic Justice and Dignity Group which found that workers spend as much as 57% of their wages on transport and electricity, whilst underspending on food.
This is why our members have rejected an increase based on CPI because the cost of living is very high, therefore an inflation based increase is unrealistic. Eskom has been granted double digit increases over the years. At the same time food inflation has increased by an average of 7per cent year on year, and often above inflation over the years. It is against this background that we are making the following demands for the following sectors:
Demands for Garage workers:2
NUMSA is currently negotiating with employers of the Fuel retailors Association (FRA) in support of our members demands for wage increases. It must be said that all the benefits that workers in Garages have are because NUMSA fought for these workers improvements of wages over the years. We increased the basic rate to above minimum wage; other benefits such as provident fund, were obtained because of gallant fight by NUMSA. For this round of negotiations we demand:
1. 10% across the board on the actual rates of pay.
2. Night shift allowance
3. Medical aid/ insurance cover for workers
4. Transport allowance.
Demands for workers in Sector 1 (Chapter three)
Sector 1 covers workers in the components manufacturing and supply sector. NUMSA will be negotiating with the Retail Motor Industry Organisation (RMI). Demands for Chapter three are:
1. 10% across the board on the actual rates of pay
2. Closing of wage pay gaps
3. The Employer must pay 70% of the salary during short time
4. Establishment of the Short time fund to cover workers during short time
5. Medical aid for all employees.
Demands for workers in the Vehicle Body building sector represented by the RMI are:
1. 10% Across the board on the actual rates of pay
2. Closing of wage gaps
3. Employer to pay 70% of the salary for short time.
4. Medical aid/insurance for all employees.
The demands for workers in the Tyre replacement sector, shocks, brakes and glass
fitment centres, represented by the RMI are:
1. 10% across the board increase on the actual rates of pay
2. Closing of wage pay gaps
3. The employer must pay 70% of the salary for short time.
4. Medical aid/insurance for all employees
The demands for workers in the aftermarket, retail sector including workers employed at Goldwagen, Midas, and all spare and engine parts establishments, represented by the RMI are:
1. 10% across the board on the actual rates of pay
2. Closing the wage pay gaps
3. The employer must pay 70% salary for short time
4. Medical aid/insurance for all employees.
NUMSA submits that our demands are reasonable under the circumstances. Workers have been suffering and the wages have not improved much over the years. Whilst we accept that CPI is currently at around 3%, an inflation based increase is unrealistic because our members simply cannot afford to survive on it.
At the recent National Bargaining Conference we resolved that our core business as a union is to “struggle for a living wage with a particular focus on organisation, recruitment and delivery of quality service to NUMSA members.”3
ENDS
For more information please contact: fault
Phakamile Hlubi-Majola
NUMSA National Spokesperson
NUMSA Head Office number: 0116891700
NUMSA Facebook page: https://www.facebook.com/NumsaSocial
NUMSA Twitter account: @Numsa_Media
NUMSA Website: https://numsa.org.za/
PDF DOWNLOAD: NUMSA participates in first round of wage talks in the Motor Sector
