Business Live reports that Transnet and the SA Transport and Allied Workers Union (SATAWU) have signed a wage deal that matches the union’s demands for above-inflation increases of 17.5% over three years. The wage agreement was concluded during a round of talks at Esselen Park outside Kempton Park on Wednesday, following a 10-day cooling-off period from March 7, when Satawu and the United National Transport Union (Untu) rejected Transnet’s revised offer that would have seen workers receiving increases of 5.5% for the first and second years and 5% in the last year of the agreement.
In a statement issued at 12.44am on Thursday, Transnet said it had reached a three-year wage deal with Satawu after tabling a full and final offer for increases of 6% in the first and second years and 5.5% in the final year of the agreement. Inflation is hovering around 3%. “The above-inflation offer, which comes into effect on 1 April 2025, represents a 17.5% wage increment over the three-year period. It includes increases to basic salary and related components (13th cheque and pension fund contribution), medical aid subsidy and housing allowance,” Transnet said.
“Transnet considers the offer to be reasonable and fair given the current financial and operational challenges and takes into consideration the cost of living, the wellbeing of employees, job security and the organisation’s long-term financial sustainability.” SATAWU spokesperson Amanda Tshemese said on Thursday: “The three-year wage agreement is an indication of job security to our members and workers. The union has been very vocal on what it stands [for] and believes in, and we have once again stood firm and won for our members and unorganised workers. This is their victory.”
Tshemese said the rail and ports operator had made it clear that it would consult should there be a need to restructure the entity. “However, we are not yet there. Based on our demands, the union is accepting the final position of Transnet as it is aligned to our members demands.”
by Luyolo Mkentane