Labour court rules in favour of gold companies

AMCU strike action in respect of 2013 wage agreement would be unprotected

Johannesburg, 23 June 2014: The gold producers represented by the Chamber of Mines welcome the ruling by the Labour Court to uphold the interim order preventing the Association of Mineworkers and Construction Union (AMCU) from embarking on protected strike action at certain operations owned by AngloGold Ashanti, Harmony and Sibanye.

This follows an application to the Labour Court by the Chamber of Mines, acting on behalf of its members, in January 2014 requesting the Labour Court to declare any strike action by AMCU on wages and other conditions of service unprotected as wage negotiations were concluded on 10 September 2013 when a two-year wage agreement was reached with National Union of Mineworkers (NUM), UASA and Solidarity, representing 72% of employees at the time. While AMCU (representing 17% of employees at the time) participated in the centralised collective bargaining process, it refused to sign the agreement.

Speaking on behalf of the affected gold producers, Chamber of Mines chief negotiator Dr Elize Strydom said: "The decision brings certainty about the binding nature of the 2013 wage agreement, which is in the best interest of employees, the industry, and our country. Historically, the gold industry has always conducted wage negotiations at a centralised level and the process has always been inclusive and fair. Going forward, we will continue to bargain in good faith with the elected representatives of employees."

Statement issued by Dr Elize Strydom, Chamber of Mines, June 23 2014

Click here to sign up to receive our free daily headline email newsletter