TRANSNET WAGE / SALARY NEGOTIATIONS UPDATE

For Immediate Release

01st June 2022

TRANSNET WAGE / SALARY NEGOTIATIONS UPDATE

The South African Transport and Allied Workers (SATAWU) met with Transnet Management for the second round of salary negotiations today, the 01st June 2022 at the Transnet National Bargaining Council (NTBA), after critical, prudent and carefully weighed discussions, SATAWU had the following consolidated demands.

1. Increase of 13.5% (ATB)

2. No retrenchments

3. 3 – Year agreement (dependent on holistic agreement)

4. Nightshift allowance increase to R15 p.h

5. Standby allowance increase from R6.50 to R10 p.h

6. Acting allowance to increase from 7% to 10% of current hourly rate and applicable from 1st hour of acting in higher position

7. Housing allowance to increase to R2500

8. Medical Aid to increase to R2500

9. Low – income medical aid must be fast tracked and deadlines for conclusion must be determined

10. Backpay from 01st April 2022, irrespective of date of agreement reached

11.Third Party deductions (e.g life policy) to be administrated by payroll

12. Overtime cap to be removed

However, the employer proposed the following:

1.Three – year wage agreement

• Advance the management and union engagement agenda from annual, wage bargaining to engagement on key business objectives, initiatives and targets to drive a high-performance profit-centric culture.

• Provides certainty with labour cost budgeting for years 2 and 3

• Labour bill upliftment cost can be factored into tariff increases

• Provides certainty to employees in terms of the expected increases for three years • Ensures labour peace whilst allowing Transnet to focus on the business turnaround

2.

year 1: 1.0% – paid as follows:

A – Increase on pensionable salary; or

B – Paid as non-pensionable monthly allowance

• For year 2: 2.0% – paid as option A or B above

• For year 3: 2,5% – paid as option A or B above

3. Housing allowance, medical subsidy, stand-by and nightshift allowance will remain unchanged.

4. Reduction in the leave cycle from 27 to 18 months.

5.Streamline variation agreements to only focus on operations related matter, policy related matters to be discussed outside of variation agreements and be transversal.

6.Forced retrenchments remains a consideration by Transnet in the 2022/23 financial year. Transnet supports the principle of employment retention as far as possible in this difficult economy. However, the company needs the cooperation of Labour to ensure that the company becomes sustainable and profitable.

The South African Transport and Allied Workers Union (SATAWU) will constantly update the workers on new developments concerning the process in question to revise and receive updated mandates from the organised labour constituency.

Issued by SATWU

General Secretary Cde Jack Mazibuko : 082 660 4793

Deputy General Secretary Cde Anele Kiet : 071 021 1903

Head Of Communications Amnada Tshemese : 062 945 7217