Employers in SA’s multibillion-rand plastics industry have tabled a multiyear wage proposal to unions in the sector’s bargaining council aimed at bringing stability to businesses employing nearly 40,000 workers nationally.
CEO of the Plastic Convertors Association of SA Natalie van Vreden said employers had tabled a three-year wage offer with increases based on minimum rates of pay of 7% in the first year and 6% in the outer years, respectively. Inflation is hovering near 3%.
“The three-year duration will ensure stability and sustainability within the plastics industry for employers and employees,” Van Vreden said.
The association is the largest representative body of employers registered with the Metals Engineering Industries Bargaining Council. It boasts a membership of about 230 employers who collectively employ more than 33,000 staff, she said.
Department of trade, industry & competition data shows there are about 1,800 plastics companies countrywide, with the sector directly contributing about R68bn to GDP.
The leading markets for plastics are in packaging, building, agriculture, construction and the automotive industries. Other industries that use some form of plastic include textile, electrical, electronic, mechanical engineering and agriculture.
The wage talks began on April 10 with the offer to unions — including the National Union of Metalworkers of SA (Numsa), National Union of Mineworkers, Uasa, Mewusa and Saewa — tabled on May 20.
“The offer presented to the trade unions … is conditional and unmandated as the understanding among the parties is that both sides will take the offer back to their respective constituencies in an endeavour to receive a mandate to hopefully settle,” Van Vreden said.
“The parties have agreed to reconvene on June 6, to receive feedback from all parties involved. If mandated, we will finalise an agreement that will have the support of all employers and trade unions in the plastics sector,” she added.
Parties were committed to processing the agreement for gazetting and extension to all “nonparty employers and employees in the plastics sector”.
Numsa spokesperson Phakamile Hlubi-Majola on Monday confirmed an offer was on the table and said the union was discussing it with its structures. Talks would resume on June 6.
Hlubi-Majola recently said the union’s demands included a one-year 10% across-the-board wage increase “on the actual rates of pay”, reconfiguration of shifts, and removal of area differentials.
Uasa spokesperson Abigail Moyo had not responded to a request for comment by the time of publication. NUM spokesperson Livhuwani Mammburu could not immediately be reached for comment.
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