State-owned rail, port and pipeline company Transnet has tabled a revised – and final – three-year wage offer, as the company reiterates its “difficult” financial situation since ratings agencies downgraded the country to junk status.
Transnet proposed a 6.5%, 7.25% and 7.5% increase in 2018, 2019 and 2020 respectively, along with a 4.5% increase each year in housing allowance over the next three years and a 5.5%, 6% and 6.5% increase in medical aid allowance in 2018, 2019 and 2020 respectively.
“We cannot move any more. This is Transnet’s absolute final offer,” said Transnet GM Tumelo Mokwena on Monday, noting that the company had taken “serious note” of the United National Transport Union’s (UNTU’s) concerns.
UNTU will now embark on a mandate process with its membership and inform Transnet at the next wage negotiations on February 1 whether its members have accepted or declined the offer.
“The absolute final offer is a multi-term agreement over the next three years and an undertaking from Transnet that there will be no forced retrenchments of our members during this period. UNTU members must realise that they will have to accept this offer or embark on a nationwide indefinite strike to try and enforce their wage demand,” said UNTU general-secretary Steve Harris.
“Transnet is at the bottom of its barrel. All our members, therefore, have an obligation to make sure that they participate in the mandating process that UNTU branches across the country are about to embark on.”