Transnet is heading for a crippling strike after this week's efforts by the Commission for Conciliation, Mediation and Arbitration (CCMA) failed to resolve an impasse in pay negotiations with the United National Transport Union (Untu).
Untu, the majority union at Transnet, with 26,500 members, is threatening to take its members on strike if a revised wage offer is not tabled.
Untu spokesperson Atenkosi Plaatjie said on Friday the resolution of the deadlock now rests with the CCMA, which has committed to present a revised wage offer by close of business on Monday.
“Should no revised offer be forthcoming, Untu will issue Transnet with a 48-hour notice of industrial action. This could potentially result in action commencing on Thursday, in line with the overwhelming mandate secured from Untu's members.”
Should no revised offer be forthcoming, Untu will issue Transnet with a 48-hour notice of action. This could potentially result in industrial action commencing on Thursday, in line with the overwhelming mandate secured from Untu's members.
Plaatjie said Untu “has made the necessary logistical preparations to ensure our readiness for industrial action”.
“If a revised offer is received, Untu will initiate a structured mandating process to determine if our members accept the revised offer.”
The wage deadlock remained unresolved despite two senior CCMA commissioners facilitating a three-day meeting between Transnet and Untu which ended on Thursday.
Plaajtie said the union had participated in the section 150 process in good faith, fully committed to securing a fair and sustainable outcome amid the rising cost of living and the ongoing operational and structural challenges at Transnet.
“Throughout the process, Untu tabled a variety of wage proposals for Transnet’s consideration, proposals which we are confident were in line with the economic and financial pressures facing our members, with a high emphasis on job security while paying due cognisance to the challenges Transnet faces,” he said.
Untu said the proposals are confidential.
“The proposals prioritised labour stability, job security and the sustainability of Transnet. We had hoped Transnet and its mandate-givers would seriously consider them, particularly given the potential economic impact of industrial action and the value of securing a longer-term agreement securing labour peace during this critical time in Transnet’s turnaround into a sustainable self-funded entity,” Plaatjie said.
Untu, which led an 11-day strike in 2022, rejected Transnet's three-year wage agreement which was signed by the rival South African Transport and Allied Workers Union (Satawu) for increases of 6% in the first and second years and 5.5% in the third year. It said this week that members had given the green light for the union to down tools after voting on April 15.
On Monday, Untu said it had received a “decisive and overwhelming mandate” from its members to embark on industrial action in response to the deadlock.
Transnet previously accused Untu of trying to push the company to the brink of bankruptcy with unaffordable wage demands. It said this week that it noted reports that Untu members had decided to vote in favour of industrial action.
“Throughout the negotiation process, Transnet has engaged in good faith dialogue aiming to reach a fair and sustainable agreement that recognises the valuable contributions of our employees while ensuring the organisation’s long-term viability and competitiveness,” Transnet said. “Despite the vote in favour of industrial action, we remain committed to resolving the dispute.”
Transnet said its immediate priority, should Untu embark on a strike, would be to ensure business continuity and the safety of its employees and assets.
“Additionally, Transnet continues to engage with its employees in terms of the reasonability and fairness of the offer, which is above inflation and above most settlements in the public and private sectors. Transnet continues to keep all stakeholders updated on developments.”
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