Transnet strike toll grows

Transnet met with its two biggest labour groups, the United National Transport Union and South African Transport and Allied Workers Union, the company said in a statement.

State-owned port and rail logistics company and labour unions met again yesterday in the latest
effort to end a strike over wages that’s progressively slowing the flow of goods in and out of the
nation.

The industrial action that started October 6 has severely reduced staff at key ports that export iron
ore and coal from South African mines. Shipments of agricultural goods are also at risk, with fruit
farmers raising concerns about the limited shelf life of their products.

Transnet met with its two biggest labour groups, the United National Transport Union and South
African Transport and Allied Workers Union, the company said in a statement. “Transnet is
hopeful that the unions will formally table their position, to enable the company to assess its
feasibility.”

The company’s latest proposal for pay raises of up to 5 percent and a boost to housing and medical
allowances of 1 percent was rejected by Untu, the union said in a letter to its members. The labour
group advised Transnet that it would consider an increase above 8 percent, a position that resulted
in a deadlock, Carestone Damons, a member of Untu’s bargaining team, said in a mobile phone
message.

Coal and iron ore miners have warned that a prolonged strike will curtail exports and hobble
production. Russia’s invasion of Ukraine has boosted demand for the dirtiest fossil fuel and
revitalised a shipping route to Europe. South Africa is also the world’s second-largest exporter of
citrus fruit, trailing only Spain.
Businesses have offered to pay increased fees for Transnet rail services along with a strikeavoidance levy until an agreement is reached, according to Johannesburg-based Business Day. The
newspaper cited proposals contained in an industry publication, Cargo Movement Report. —
Bloomberg.
/The Herald