Sibanye-Stillwater, navigating through a challenging financial year due to declining PGM prices and performance issues at its North American PGM operations, has announced a five-year wage agreement with AMCU and NUM unions at its Kroondal operation. The deal, announced by CEO Neal Froneman, ensures a 6% annual raise for miners, artisans, and officials.
This agreement follows similar deals at Rustenburg and Marikana in 2022, contributing to an estimated average increase in the total wage bill of about 6.4% per annum over the period. Despite prior disputes between AMCU and NUM at East Modder mine, the negotiation was concluded smoothly.
While the wage agreement offers some stability for Sibanye-Stillwater employees, the company also announced the closure of two shafts affecting 4,095 jobs and restructuring at Kloof 4 shaft putting nearly 3,000 jobs at risk. These moves come as part of turbulent times for the company amidst falling PGM prices and job endangerment due to restructuring.
Froneman expressed satisfaction with the amicable agreement that secures wage stability for the company during these challenging times. Concurrently, De Beers secured a wage deal with NUM for its Venetia Mine and Sightholder Sales South Africa employees, offering a 7% wage increase in 2023 and annual 6% increases thereafter.
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