Cape Town – Wage and salary negotiations between Transnet and the United National Transport Union (UNTU) have collapsed, after talks failed to bridge the gap between the union’s demands and the company’s offer for the 2025/2026 financial years.
The meeting, initiated by Transnet management, was attended by UNTU President Weilligh Meyer and senior union officials, who represented workers employed by South Africa’s largest state-owned port and rail operator.
Transnet proposed a 6% annual wage increase over the next two years – an offer UNTU rejected, insisting on a 10% increase.
“Regrettably UNTU must inform its members that the meeting did not yield any progress. Despite management calling for the engagement, they failed to present an improved offer to what was previously tabled during the final round of negotiations and does not address the real pressing financial challenges faced by our members,” UNTU said in a statement.
“We had hoped for a genuine effort to protect the interests of workers, ensure the long-term stability of the company and minimize the impact on our extremely fragile economy.
“The fact remains: the negotiations have reached a definitive conclusion – the deadlock stands. As such, the CCMA Commissioner will issue a certificate of non-resolution, legally enabling UNTU to commence with industrial action”, it added.
According to Bloomberg, the ongoing disruption between the Union and Transnet will deal a huge blow to the economy of South Africa, as imports of goods and minerals will be disrupted or put on hold.
The report noted that a strike in 2022 cost mining companies an estimated R815 million per day, according to the Minerals Council South Africa.
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Compiled by Anda Tolibadi
