UASA welcomes 6% wage increase, backpay agreement in sugar sector
Trade union UASA has welcomed the successful conclusion of the sugar sector wage negotiations after weeks of industrial action and extensive negotiations.
UASA spokesperson Abigail Moyo says workers have secured meaningful wage increases, enhanced benefits and back pay.
The agreement, signed between the Sugar Manufacturing and Refining Employers Association and organised labour represented by UASA, the Food and Allied Workers Union and the Association of Mineworkers and Construction Union (AMCU), marks an important outcome for employees across the sector who stood together to secure improved wages and working conditions.
The settlement agreement provides for a 6% across-the-board wage increase, backdated to April 1 this year; a six-day ex gratia payment for permanent employees, funded by employers; payment of back pay no later than September 18; and for employees to resume work from September 9 in accordance with individual companies' operational requirements, but no later than September 10.
The agreement will remain in effect from April 1 this year to March 31, 2027.
UASA commends its members for their resilience, unity and commitment throughout the strike period. "We remained steadfast in supporting members, with officials deployed to mills, ongoing engagement with workers on the ground and active participation in multiple rounds of negotiations aimed at securing a fair and sustainable settlement.
"This agreement reflects the value of collective action and constructive engagement. While the negotiations were challenging, the outcome delivers tangible benefits for workers and shows what unity and perseverance can achieve," Moyo states.
AMCU also welcomed the concluded negotiations and wage increase for workers in the industry, saying the settlement brings an end to a difficult period for workers and their families.
AMCU president Joseph Mathunjwa points out the agreement represents an improvement on the employers' prior offer of a 5.4% increase with a further 0.6% having been made conditional upon a future government decision on sugar import tariffs. The final agreed 6% is not linked to any such condition anymore.
"The 6% increase is now guaranteed and backdated. That is an important achievement secured through the unity and determination of the workers," he notes, adding that government's failure to protect local sugar production and the conduct of companies which import cheap foreign sugar cannot be used as an excuse to suppress wages.
Mathunjwa hopes that the wage settlement will be followed by urgent government action to protect the long-term sustainability of the local sugar industry, including through more import protection measures and preventing subsidised foreign sugar from displacing South African production.
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