Wage negotiations at MEIBC: High demand for scarce skills calls for better wage increases - Solidarity

Solidarity representatives from across South Africa rejected the 7% wage offer of the Bargaining Council for the employees in the Metal and Engineering Industries Bargaining Council (MEIBC) during a special industry council meeting in the metal and engineering industry today. If the employers do not make an improved wage offer during the dispute meeting on Friday, Solidarity will give notice of a strike.

According to Dirk Hermann, Deputy General Secretary of Solidarity, the trade union contemplated the issue carefully before coming to this decision, as the industry would be significantly affected if Solidarity's members, mostly skilled employees and artisans with scarce skills, went on strike.

"Wage negotiations are also subject to the basic economic principle of the relationship between supply and demand," explained Hermann. "There is currently a big skills shortage in South Africa in respect of skilled employees and artisans. If the demand for a product increases, its price goes up. The same principle should apply where the remuneration of employees with scarce skills is concerned," according to Hermann.

Meanwhile, Solidarity emphasised that is members would not do the work of striking employees.

Solidarity represents approximately 27 000 employees in the metal and engineering industry.

Statement issued by Dirk Hermann, Deputy General Secretary: Solidarity, July 13 2011

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