SA's largest trade union, the National Union of Metalworkers of SA will ask its members in the automotive sector for a new mandate on a 4.5% wage increase offer from manufacturers this week.
Automobile Manufacturers Employers Organisation , after its three-year wage agreement came to an end in June. Should the parties fail to common ground, any potential disruptions to the sector will have a severe effect on the economy. The automotive sector contributes more than 7% to the GDP, which contracted by 3.2% in the first quarter of 2019. The National Association of Automobile Manufacturers of SA said it expected a “flat year” for the sector.
Numsa's demands include morning, afternoon and night allowances of 10%, 20% and 30%, respectively. It is also demanding an annual bonus increase from 8.33% to 12%, six months’ paid maternity leave and 10 days paid paternity leave, as well as a transport allowance of R5,000 per month.
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