
South African Trade Unions Secure Five-Year Collective Bargaining Agreement with Harmony Gold
In a significant display of solidarity and union power, five South African trade unions recently collaborated to negotiate a five-year collective bargaining agreement with Harmony Gold Mining Company on April 4th.
The agreement, effective from July 1st, encompasses wage increases for workers that surpass the rate of inflation, providing a vital cushion against rising living costs. Notably, the negotiated inflation agreement exceeds the South African Reserve Bank’s target zone of six percent or less for the next five years. Additionally, workers will benefit from enhanced housing allowances, an employee share option scheme, and various other advantages.
Harmony Gold, a leading gold producer listed on both the New York Stock Exchange and the Johannesburg Stock Exchange, employs approximately 36,000 workers across its underground, open pit, and surface mining operations.
This landmark agreement, brokered by IndustriALL affiliates including the National Union of Mineworkers (NUM), the National Union of Metalworkers of South Africa (NUMSA), and UASA, alongside two other unions, AMCU and Solidarity, was reached three months before the expiration of the existing collective agreement. The unions lauded the proactive signing of the agreement as a departure from past deadlock scenarios, fostering industrial peace.
Mpho Phakedi, NUM’s acting general secretary, emphasized the agreement’s significance in safeguarding workers’ wages and addressing the challenges posed by inflation and the escalating cost of living. He pledged ongoing vigilance to ensure that workers’ benefits remain intact over time.
Irvin Jim, NUMSA’s general secretary, commended union officials and regional leadership for their tireless efforts in securing the deal, reaffirming the union’s commitment to advancing the welfare of workers and their families.
Jacques Hugo, UASA’s chief executive officer, underscored the importance of fair and reasonable adjustments in collective bargaining, highlighting the unprecedented collaboration among five unions in negotiating on a united front.
Glen Mpufane, IndustriALL’s director for mining, hailed the negotiations as a testament to goodwill and trade union unity, emphasizing the significance of amicable resolutions in achieving favorable outcomes for workers.
The collective agreement stands as a victory for workers’ rights and underscores the potential for constructive dialogue and collaboration in shaping equitable labor practices.
Source: IndustriAll