CCMA facilitated mediation adjourned: Sustainability of the industry remains key

Johannesburg, 5 March 2014: Anglo American Platinum (Amplats), Impala Platinum Holdings Limited (Implats) and Lonmin Plc (Lonmin) advise that the CCMA has adjourned its facilitated talks between the producers and AMCU.

On behalf of the platinum producers, CEOs Chris Griffith, Terence Goodlace and Ben Magara said: "We remain far apart. The revised demand by AMCU of an average basic wage increase of between 25% to 35% year-on-year over a four-year period remains unaffordable. We urge AMCU to take this opportunity to reflect on, and inform its constituents of, our current offer.

"Our proposed increase would take the current monthly basic wage of between R5,000 and R5,700 to between R6,300 and R7,200 by 2015 excluding benefits and bonuses. This proposed increase should also be seen against the reality of the mining industry already being the highest paying industry of similar labour-intensive industries.

"Importantly, the proposed increases will take the minimum guaranteed pay of entry-level underground employees to between R9,390 and R10,250 in the first year to between R10,900 and R11,900 in the third year. Most other labour intensive parts of the economy pay a basic minimum wage only.

"We remain committed to negotiating within our settlement zone and in good faith. It is however imperative that the economic realities are taken into account during this process to ensure the sustainability of the industry."

Statement issued by Dr Elize Strydom, Chamber of Mines, on behalf of the Platinum Producers, March 5 2014

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