The strike at SASM has entered a third week, following a deadlock between the parties from which Numsa had resolved to appeal to the IDC as a major funder of the company. Picture: Armand Hough Independent Newspapers
The National Union of Metalworkers of South Africa (Numsa) yesterday said it has placed the Industrial Development Corporation (IDC) on short notice and was awaiting a response to its appeal on bringing SA Steel Mills (SASM) to heel on its refusal to sign a recognition agreement and a R16-per-hour upgrade to the entry-level wages of workers in the company.
This comes as the strike at SASM enters a third week following a deadlock between the parties from which Numsa had resolved to appeal to the IDC as a major funder of the company.
“We are still waiting for a response from the IDC,” said Numsa regional secretary Kabelo Ramokhathali yesterday on the expiry of the five business day ultimatum the union had given.
Numsa demands that the IDC review the funding it has given to SASM, stop any plans for further funding with immediate effect until SASM implements the court orders and reinstates all the workers who were dismissed.
It also demands that SASM must adhere to the Metal and Engineering Industries Bargaining Council (MEIBC) and pay workers the minimum rate in the engineering industry.
SASM has previously said it remained open to consulting with all stakeholders and would not abide the nature of the actions taken by Numsa and its members in the name of the strike, in the interests of continuity of production and the protection of its employees.
Meanwhile, JSE-listed Transaction Capital has avoided R20 million a day losses after it descended to intervene on the second day of a strike at troubled subsidiary SA Taxi Finance in a labour dispute over recognition agreements with the Kungwini Amalgamated Workers Union (Kawu).
The all-day engagement yesterday resulted in the recall of workers who had embarked on a strike after SA Taxi Finance had resorted not to engage with the union to resolve wage discussions and strenuous work conditions.
“Resolutions between the Transaction Capital CEO, chief financial officer and SA Taxi management included that the ongoing strike for now with the understanding that an independent facilitator will be appointed to try and resolve the impasse between the parties,” said Kawu national co-ordinator Khumbulani Moyo.
Moyo said the details of the independent facilitator sponsored by the company will be shared with the union by the end of today and if mediation efforts failed, the “the parties will reserve their rights in line with the current ongoing protected strike”.
Transaction Capital, through its communications firm, said it would engage with the union after the first day of the strike on June 3 resulted in more than R20m in losses.
“The strike was stayed then to allow SA Taxi to engage with the union but the efforts failed, resulting in the CCMA issuing a strike certificate,” it said.
SA Taxi, which claims a stake in the 15 million daily commuters in the taxi sector, currently finances about 36 000 taxis and has helped establish 76 000 businesses nationally.
Of the estimated 250 000 taxis on the roads in South Africa, SA Taxi finances more than 36 000.
The strike, stayed again yesterday, resulted in the closure of SA Taxi hubs in Midrand and Vereeniging which are responsible for the sale, insurance, and parts distribution of the taxi passenger vehicle market in southern Africa.
In its trading statement in September last year, Transaction Capital recorded a decline in core, basic, and headline earnings per share from continuing operations for the full year, primarily due to ongoing macroeconomic challenges faced by SA’s minibus taxi industry since the onset of the Covid-19 pandemic in March 2020.
BUSINESS REPORT