Relief in SA as SATAWU appeals to Transnet members to return to work

There is a sigh of relief in the entire South African business sector following the expected return of Transnet workers affiliated with the South African Transport and Allied Workers Union, SATAWU.

The union, SATAWU, announced that it has appealed with its members to return to work at their Transnet workstations.

SATAWU spokeswoman Amanda Tshemese has confirmed the details to News24, saying they are doing this in the interest of the South African economy. 

The development follows after another trade union, United National Transport Union (UNTU), returned to work earlier this week as they managed to reach an agreement with Transnet.

During the ongoing strike involving UNTU and SATAWU, Transnet and various business sectors lost millions of rands as various cargo could not be exported and imported.

“We have appealed to our members to go back to work tomorrow morning,” said SATAWU spokeswoman Tshemese – and the workers were expected back to work on Thursday.

“In the interest of the economy, the majority has signed and we just have to release our members.”

SATAWU initially rejected its rival UNTU acceptance of Transnet’s pay offer and said industrial action will continue until workers are assured they won’t lose their jobs. 

UNTU said Monday it agreed on a three-year deal with the rail freight state-owned company for increases of as much as 6%.

In addition, Tshemese said the union, SATAWU, still doesn’t agree with the current agreement between the majority and Transnet management and would address its issues internally. 

SATAWU said it represents about a third of Transnet’s 55 827 full-time and contract staff, compared with 24 992 for UNTU.

The strike, which UNTU began on October 6 and SATAWU joined four days later, has crippled South African shipments of iron ore, coal and, fresh produce, and chrome. 

In the wake of the industrial action, the Minerals Council South Africa estimated it cost mining companies about R815 million a day. 

At the same time, fruit producers also expressed concern that their harvests will rot at the docks estimated a loss of about R134 million a week.

The strike is another blow to South Africa’s economy, which contracted 0.7% in the second quarter and may be in a technical recession, according to the BankservAfrica Economic Transactions Index. 

Economic growth faces more headwinds from state-owned power utility Eskom, which is implementing rolling load shedding or power cuts due to frequent breakdowns at its generation plants.

Main Image: Transnet Freight Rail/MoneyWeb