COSATU Today | COSATU Press Statements |
CONCILIATION SESSION IN THE SACCAWU//PICK N PAY WAGE DISPUTE HAS REACHED A STALEMATE!!!
A conciliation/mediation session held under the auspices of the CCMA, on the 28th of July 2010 deadlocked. The session was a sequel to the following developments:
a) The Union submitted its wage demands to management in December 2009;
b) The Company failed and/or refused to table any offer whilst the implementation date was the 1st of March 2010;
c) The Union was then mandated and duly declared a dispute in April 2010;
d) The Company first tabled an offer at a dispute resolution meeting held in May 2010;
e) Two subsequent dispute resolution meetings also failed to yield positive results in that the dispute remained unresolved;
f) The Union was accordingly compelled to refer the dispute to the Commission for Conciliation Mediation and Arbitration and such referral led to the conciliation session held on the 28th of July.
The Union’s approach to current wage negotiations is premised on the need to reduce income inequalities, within the Company, amongst other things. Such an approach is in line with national priorities since South Africa has the highest gap in income inequalities in the whole world. There is also a vast remuneration gap within Pick n Pay Retailers. This was confirmed through a Department of Labour Review DG (Director General) report, on Employment Equity, which was released in February 2009. The report states the following on the Remuneration gap within Pick n Pay:
“The analysis indicates that it will take 41 years for an employee earning the lowest average remuneration of R 33 006 to accumulate the highest average remuneration of R 1 341 600 per annum earned by an employee at top management of this organisation.”
Whilst the Company received the DG Review report in February 2009 its management has failed to take reasonable steps aimed at reducing the remuneration gap highlighted in the report. Management’s approach and attitude during wage negotiations and the subsequent wage dispute clearly demonstrate that they lack the will to reduce the Apartheid wage gap. The following are the key unresolved issues in this dispute:
1. Duration of the agreement where the Company is proposing a three year agreement whilst the Union is proposing the normal one year agreement;
2. The wage increase where the Union is demanding an across the board increase of R 550-00 per month or 12% whichever works out greater with the Company only proposing an increase of R 335-00 per month for the first year;
3. Staff discount where the Union is proposing 10% with no offer from the employer;
4. Job category differentials where the Union is demanding R300-00 whilst the employer is only offering a ten rand improvement from the current R160 which has been in place for the past five years;
5. Working hours for variable-time employees where the Union is demanding a guaranteed minimum of 120 hours per month whilst the employer wants to retain the status quo of a guaranteed minimum of 85 hours per month.
It should also be noted that in addition to the above critical issues parties are in dispute over the following issues;
a) Uniform and laundry allowance;
b) Long service incentives;
c) Number of days off for front line and cash office employees;
d) The amount charged by the Company for subsidised meals.
Whilst the Union has demonstrated its commitment to finding an amicable resolution to the current impasse the Company’s attitude on the other hand has been characterised by extreme arrogance and/or contemptuous treatment of the Union and its members and such attitude is consistent with the basic tenets of the Walmart philosophy that the Company has embraced, over the past few years.
The Union has demonstrated high levels of tolerance and patience in the context of the Company’s provocative conduct. Whilst it had become clear that the powers that be within the Company were provoking Union members to embark upon sporadic strikes Union members have refused to fall into such a trap.
The Union is currently consulting Union more than 25 000 members throughout the country on the modalities of industrial action including forms and actual timing of the looming protected industrial action. The last general meeting will be convened on the 15th of August and the Union’s National Negotiating Team will then meet with National Office Bearers to consolidate mandates from members and resolve on the actual date/s for action including forms of action.
Whilst Union members have clearly indicated that they are more than willing to embark upon protected industrial action should the Company maintain its intransigence the Union is still willing to explore an amicable settlement of the current impasse.
For further information please phone Mduduzi Mbongwe, Deputy General Secretary, on 0114038333


