Business Maverick: Transnet reaches three-year pay rise deal with key trade union

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About 24,992 Transnet workers affiliated with the United National Transport Union have accepted the company’s three-year pay rise offer. But this doesn’t necessarily mean that the strike is over. Transnet’s offer is yet to be accepted by the South ...

Transnet and the United National Transport Union have reached a pay rise agreement — a move that might pave the way for the nearly two-week-long strike at the state-owned port and rail operator to end.

Untu represents about 53,9% of Transnet’s workforce that downed tools since 6 October over a pay rise dispute. The strike, joined by a majority of Transnet’s 55,000 workers , has crippled the company’s operations and productivity in South Africa’s economy. It is a big U-turn and compromise by Untu, which dug in its heels and pushed for wage increases that are linked to consumer inflation or surpassing the rate. Untu was not immediately available to comment on the pay rise agreement.

Transnet said Untu’s acceptance of its pay rise offer has the effect of ending the industrial action by the trade union “with immediate effect”. Transnet said it would now shift its attention towards clearing shipping backlogs that occurred across the port and rail system during the industrial action.

 

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