UPDATE: Foskor strikers return to work
Mediation hammers out month-long deadlock at Richards Bay chemicals company
THE Foskor Acid Division in Richards Bay is officially up and running since strikers resumed work on Tuesday, with plants being reactivated over the past two days.
After a month-long deadlock between management and 400 members of CEPPWAWU (Chemical Energy Paper Printing Wood & Allied Workers Union), the Commission for Conciliation, Mediation and Arbitration (CCMA) stepped in to finally end the dispute that led to the shutdown of 90% of the company’s operations.
‘Management and staff are pleased to announce that the strike, which commenced on 29 October, has finally come to an end,’ said Foskor Corporate Affairs Group Manager Abram Ledwaba.
‘The ending of the strike comes after a series of meetings between management and the trade union’s leadership, and included a CCMA commissioner appointed to mediate between the two parties last Monday and Tuesday.
‘Although five issues in dispute had been referred to the National Bargaining Council for the Chemical Industry, only two of them form the core of the strike.’
These were that the union alleged the company is not making any contributions to the provident fund and staff demanded 100% bonuses.
Employees also wanted 88.25% of the current cost to company to form the new basic salary, as opposed to the existing 81.46%.
No work, no pay
Ledwaba said, while there was no consensus on the provident fund contributions contention, nor the salary grading, they would continue to engage.
‘Should amicable resolutions not be reached, an arbitration process will be sought regarding both matters.’
After a rocky road to reach consensus on bonus payments, management and union members did finally shake hands on 70% of the equivalent of a 13th cheque.
‘In spite of the fact that the Acid Division did not achieve its performance objectives, CEPPWAWU demanded that its members be paid the same bonus that was paid to the Level one to seven employees at the Mining Division,’ said Ledwaba.
‘Numerous efforts were made in an attempt to make the union understand that it was not justifiable to pay the Acid Division employees anything given the poor performance result during the preceding financial year.
‘However, the company agreed to 70% to employees in the Level one to seven category as a gesture of goodwill.’
Ledwaba added the ‘no work no pay’ principle was applicable throughout the duration of the strike.
However, they decided to allow the affected employees in this regard to repay the lost wages over a period of 24 months.
‘Management would like to extend a word of appreciation to everyone who had to make contributions towards finding a solution and thus bringing the strike to an end,’ Ledwaba said.
READ more on the Foskor strike HERE
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