https://www.engineeringnews.co.za

Auto manufacturers face strike as wage talks stall

Auto manufacturers face strike as wage talks stall

Photo by Duane Daws

14th August 2013

By: Irma Venter

Creamer Media Senior Deputy Editor

  

Font size: - +

The National Union of Metalworkers of South Africa (Numsa) on Wednesday served the country’s seven vehicle manufacturers with a 48-hour notice to strike.

Automobile Manufacturers Employers Organisation (Ameo) chairperson Thapelo Molapo said a nationwide strike should start on Monday.

Numsa chief negotiator Alex Mashilo confirmed that 31 000 workers would down tools.

Nissan, BMW, Ford, Toyota, Volkswagen, General Motors and Mercedes-Benz all manufacture vehicles in South Africa for the local and export markets.

Ameo and Numsa were in the midst of negotiating a new wage agreement in a national bargaining forum, as the previous multiyear wage agreement ran out earlier this year.

Molapo said he did not want to discuss the wage negotiations in terms of percentage increases offered and wanted.

“We started with 36 items to negotiate and we have 17 outstanding, with 19 already agreed upon.”

Newswire Reuters quoted Mashilo as saying that labour had lowered its initial demand for a 20% increase to 14%, but that car manufactures were only prepared to offer 6% during negotiations.

Toyota South Africa Motors (TSAM) spokesperson Leo Kok said the local arm of the Japanese manufacturer would lose production of 700 vehicles a day at its Durban plant should Numsa strike on Monday.

TSAM produced the Hilux, Corolla and Fortuner models.

General Motors South Africa (GMSA) spokesperson Denise van Huyssteen said the Port Elizabeth-based company would lose production of 225 vehicles a day in the event of a strike. GMSA produced the Isuzu pickup for local and African markets.

BMW South Africa (SA) spokesperson Guy Kilfoil said lost production at BMW would amount to 345 3 Series units a day, of which 80% were exported.

BMW SA already faced a strike at its Rosslyn plant, near Pretoria, linked to shift allowances. This strike started on Thursday last week.  

Kilfoil said this week's strike was proving damaging to BMW SA's reputation abroad as a trustworthy supplier of vehicles to markets such as the US and Japan.

"Things like this cut the branch the industry sits on."

Workers at Ford Motor Company of Southern Africa were also already on strike, downing tools on Wednesday. The local arm of the US manufacturer, which produced the Ford Ranger, in Silverton, did not want to confirm the reason behind the industrial action.

Edited by Creamer Media Reporter

Comments

Showroom

Yale Lifting Solutions
Yale Lifting Solutions

Yale Lifting Solutions is a leading supplier of lifting and material handling equipment in Southern Africa. Yale offers a wide range of quality...

VISIT SHOWROOM 
Universal Storage Systems (SA)
Universal Storage Systems (SA)

South African leader in Steel -Racking, -Shelving, and -Mezzanine flooring. Universal has innovated an approach which encompasses conceptualising,...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Magazine round up | 19 April 2024
Magazine round up | 19 April 2024
19th April 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.112 0.169s - 167pq - 2rq
Subscribe Now