Strike looming ahead for sugar industry
- Published on 21 May 2015
- HR Pulse News Desk
A strike is looming ahead for the sugar industry after UASA and other unions involved at the bargaining council declared a dispute this morning. This could see a potential 5 000 employees in the industry going on strike if the dispute remains unresolved.
The sugar industry is already in a difficult position because of a number of sugar mills which have been shut down in recent months as a result of insufficient sugar cane due to drought conditions. Another factor which is hampering the companies is the importation of sugar cane from neighbouring countries.
With the above in mind, UASA went into negotiations knowing of the difficulties facing the industry and for that reason, we limited our demands to only four, namely:
- An across the board wage increase of 13.5%.
- Implementation date 1st April 2015.
- Medical aid subsidy equal to 100% of contribution by the employer.
- Discussion at the bargaining council linking a sick fund in terms of section 28(7) of the medical aid scheme.
UASA has been very responsible in its approach during negotiations, says Gerhard Ueckermann, sector manager of UASA. “We initially demanded 13.5% but soon lowered our demand to 9.7%. The counter offer by the employers was 5.3%, and they were prepared to backdate to 1 April 2015.
“Our demand for a medical aid subsidy of 100% has been lowered to a 70/30% split, but the employers still refused to entertain this demand. A dispute has been referred to the bargaining council and we are awaiting the appointment of a commissioner by the CCMA,” says Ueckermann.
