Media release issued by the Chamber of Mines on 28 July 2009

Chamber of Mines collieries sign agreement with unions to conclude the 2009 coal sector wage negotiations

Today the Colliery members of the Chamber of Mines of South Africa signed a two year wage agreement with the unions, in terms of which wages increase on average by between 9% and 10%.

The unions involved are the National Union of Mineworkers, Solidarity and UASA. The companies are Anglo Coal, Xstrata, Exxaro, Delmas Coal, Kangra, Springlake, Optimum and Siyanda.

The agreement for Anglo Coal, Xstrata, Exxaro, Delmas Coal and Kangra is to increase the salaries of miners, artisans and officials by 9%. For all other employees, except for the entry level employees, the increase will be 10%. Salaries for entry level employees will be increased by 11%. The living out allowance paid to employees will be increased by the same percentage as the salary increase.

Optimum and Siyanda collieries do not have different categories of employees and the salaries of their employees will therefore increase by 9.5%. The salaries of the lower category employees for Springlake will increase by between 9.5% and 10%, whilst those of their miners, artisans and officials will increase by 9%.

Regarding the second year, the salaries of all employees on coal mines will improve on 1 July 2010 by the average CPI plus 1%, with a guaranteed increase of 7.5%. 

Commenting on the agreement reached, Dr Frans Barker, who negotiates for the coal mining companies, said “I am very pleased with the outcome of the negotiations, and both employers and unions had approached the negotiations in a constructive manner”. He further commended the union leadership on their professional approach to the negotiations and noted that “The signing of the 2009 coal wage agreement is an historic occasion as this is the first time that Chamber level wage negotiations have been settled without referral to the CCMA”.

For any enquiries related to this media statement please contact:

Jabu Maphalala
Deputy Communications Adviser
Chamber of Mines of South Africa

Click here to view an electronic copy of the agreement