safrica union wants 14 pct pay hike

SAfrica union wants 14 pct pay hike from gold miners

http://af.reuters.com/article/metalsNews/idAFLDE74M0VY20110523?sp=true


May 23 2011

South Africa's National Union of Mineworkers (NUM) said on Monday it would seek a 14 percent rise in salaries from the country's gold and coal miners in upcoming wage talks.

"We are asking for a 14 percent (increase) across the board for companies in gold mining and coal mining," said spokesman Lesiba Seshoka, adding that more details would be provided later.

The union was currently in meetings with the chamber of mines, an industry body that negotiates on behalf of the coal and gold miners, to discuss the upcoming talks. Earlier this month the union said it was also demanding a 14 percent rise in wages for its members at Impala Platinum (IMPJ.J: Quote), the world's second-largest producer of the precious metal [ID:nLDE7431OE]. The mining industry has warned that above-inflation wage demands could make the sector uncompetitive in the world's top producer of platinum and a major supplier of gold and coal.

Harmony Gold (HARJ.J: Quote) finance director Hannes Meyer recently told Reuters that consistent wage hikes above inflation were "not sustainable." [ID:nLDE7441E6]

Inflation stood at 4.2 percent in April.