SA gold miners’ strike nears end

JOHANNESBURG – South Africa’s biggest mining union said it had asked its 100 000 striking gold miners to accept the latest wage offer by gold mine owners, and was to end a costly strike later yesterday.

Some 110 000 South African striking gold miners from two unions have paralysed gold producers in the world’s top bullion producer since they started their strike on Sunday in the gold sector’s first industry-wide strike in 18 years. SA’s Chamber of Mines, gave the unions a new wage offer late on Wednesday, raising wages between six and seven per cent and said it was optimistic of a settlement.”We will know later this morning what our members’ views are on the offer, but we have asked the branch leaders to recommend that they take it,” Gwede Mantashe, general secretary of the National Union of Mineworkers told Reuters.The black NUM and the Solidarity trade union, traditionally representing white miners, called the strike after rejecting the chamber’ previous offer of a 4,5 to 5,0 per cent wage rise, both said they would recommend the new offer to their members.They had originally demanded a rise of between 10 and 12 per cent.”I’ll be quite surprised if they don’t take the offer,” Frans Barker, head negotiator for the chamber said.Barker has estimated a daily loss of around 40 000 ounces of gold production and 130 million rand in combined lost revenue per day due to the strike.The Solidarity union, which has about 10 000 striking gold miners, was also seeking its members’ views on the new offer.”It looks positive so far (feedback), but let’s wait for the final outcome,” spokesman Reint Dyekama said.The failed wage talks are symptomatic of wider discontent in a country plagued by huge income gaps between the white rich and mostly black poor more than a decade after the end of apartheid.Recent weeks have seen a wave of work stoppages by supermarket clerks and staff of the national airline, and an ongoing strike by rowdy city workers.The strike has paralysed the South African mines of the world’s No.2 gold producer AngloGold Ashanti, fourth-ranked Gold Fields, sixth-placed Harmony Gold and South Deep, Barker said.The smaller South Deep is a joint venture of South Africa’s Western Areas and Canada’s Placer Dome.Miners, who descend more than 3 km underground to drill ore in sweltering narrow tunnels, typically earn 2 500 – 3 000 rand per month.-Nampa-ReutersSA’s Chamber of Mines, gave the unions a new wage offer late on Wednesday, raising wages between six and seven per cent and said it was optimistic of a settlement.”We will know later this morning what our members’ views are on the offer, but we have asked the branch leaders to recommend that they take it,” Gwede Mantashe, general secretary of the National Union of Mineworkers told Reuters.The black NUM and the Solidarity trade union, traditionally representing white miners, called the strike after rejecting the chamber’ previous offer of a 4,5 to 5,0 per cent wage rise, both said they would recommend the new offer to their members.They had originally demanded a rise of between 10 and 12 per cent.”I’ll be quite surprised if they don’t take the offer,” Frans Barker, head negotiator for the chamber said.Barker has estimated a daily loss of around 40 000 ounces of gold production and 130 million rand in combined lost revenue per day due to the strike.The Solidarity union, which has about 10 000 striking gold miners, was also seeking its members’ views on the new offer.”It looks positive so far (feedback), but let’s wait for the final outcome,” spokesman Reint Dyekama said.The failed wage talks are symptomatic of wider discontent in a country plagued by huge income gaps between the white rich and mostly black poor more than a decade after the end of apartheid.Recent weeks have seen a wave of work stoppages by supermarket clerks and staff of the national airline, and an ongoing strike by rowdy city workers.The strike has paralysed the South African mines of the world’s No.2 gold producer AngloGold Ashanti, fourth-ranked Gold Fields, sixth-placed Harmony Gold and South Deep, Barker said.The smaller South Deep is a joint venture of South Africa’s Western Areas and Canada’s Placer Dome.Miners, who descend more than 3 km underground to drill ore in sweltering narrow tunnels, typically earn 2 500 – 3 000 rand per month.-Nampa-Reuters