Dear Industry Employer
The negotiations on wages and conditions of service in the Motor Industry are ongoing and the second mediation meeting was held on 13 and 14 September 2016.
The issues which are being negotiated are:
adjustment of the threshold, and
the term of the agreement.
Parties have agreed to a three year agreement. Therefore, the outstanding issues are wages and the threshold.
NUMSA is demanding a wage increase of ten percent in each of the three years, September 2016 – August 2019. An offer of a seven percent increase on minimum wages in the first year, six percent in the second year and six percent in the third year, subject to a mandate from the NEASA constituency, has been tabled by employers.
In respect of the threshold (the amount that all employees earning in excess of, is excluded from certain sections of the Main Agreement), NUMSA demands an increase. Employers have proposed that the threshold be phased in over a period of three years, to the amount prescribed in the Basic Conditions of Employment Act, on condition that a mandate is obtained.
The NEASA constituency will be engaged in obtaining a final mandate when appropriate.
Motor Industry Collective Bargaining Co-ordinator