Sibanye-Stillwater lifts lockout as three month strike ends

play article
Subscribers can listen to this article
Gold mining took a knock because of a three-month-long strike at Sibanye-Stillwater.
Gold mining took a knock because of a three-month-long strike at Sibanye-Stillwater.
Tebogo Letsie/City Press

Sibanye-Stillwater has lifted a lockout at its gold operations in Johannesburg and the Free State after the signing of a three-year wage deal which has brought a protracted but peaceful strike to an end.

The operational start-up of the mines will now be conducted in phased manner over two to three months to ensure the safe resumption of production.

The mining group on Monday said the deal has been signed over the weekend, and as a result, the lockout has been lifted for members of trade unions  the Association of Mineworkers and Construction Union (AMCU) and the National Union of Mine Workers (NUM).

"We look forward to restarting our South African gold operations for the benefit of all stakeholders," said Sibanye CEO Neal Froneman. "We are pleased to have achieved an agreement which is in line with inflation and which will contribute significantly to the sustainability of our gold operations."

The wage deal results in an average 6.3% increase over a three-year period and is in line with management’s attempts to achieve an inflation-related increase, the company said.

Against a wage demand of R1 000 increase per year, the final wage deal will see category 4- 8 employees receive an increase of R1 000 in year one; R900 in year two; and R750 in year three. Miners, artisans and officials will receive an average increase of 5% in years one and three, and 5.5% in year two.

Employees will also receive a once-off hardship allowance of R3 000 consisting of a guaranteed R1 200 cash payment with the balance of up to R1 800 allocated to the reduction of employee debt or loans owing to the company, which includes medical aid contributions and risk benefits which were covered during the lockout.

The final agreement, effective 1 July, will also be extended to all members of UASA and Solidarity.

Wage talks at Sibanye's platinum mines near Rustenburg kicked off earlier in this month. 

Anglo American Platinum meanwhile has already secured a five-year wage deal with unions which will ensure the company's lowest paid employees receive a basic salary increase of R1 150 in year one, increasing to R1 500 by year five.

Get the biggest business stories emailed to you every weekday.

Go to the Fin24 front page.

We live in a world where facts and fiction get blurred
In times of uncertainty you need journalism you can trust. For 14 free days, you can have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today. Thereafter you will be billed R75 per month. You can cancel anytime and if you cancel within 14 days you won't be billed. 
Subscribe to News24
Show Comments ()
Rand - Dollar
Rand - Pound
Rand - Euro
Rand - Aus dollar
Rand - Yen
Brent Crude
Top 40
All Share
Resource 10
Industrial 25
Financial 15
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders