A third union, the Revolutionary Transport Union of South Africa (Retusa), has served Transnet notice to embark on a strike, widening the cracks in the country’s logistics and ports as the state utility lost a court interdict and stands accused of refusing to sign picketing rules with the unions.
A THIRD union, the Revolutionary Transport Union of South Africa (Retusa), has served Transnet notice to embark on a strike, widening the cracks in the country’s logistics and ports as the state utility lost a court interdict and stands accused of refusing to sign picketing rules with the unions.
The South African Transport Workers’ Union (Satawu) has joined the fray as the Commission for Conciliation, Mediation and Arbitration (CCMA) on Monday makes a last ditch effort to bridge the gap of labour’s 12% wage demand against Transnet’s 4% tops counter offer.
Retusa, which represents 1.5% of workers, served Transnet with a regulatory notice to join the strike as reports emerge of total shutdowns at Transnet’s ports including the waterside and the landside at Durban, while the Durban Container Terminal Pier 1 and Pier 2 are closed.
Various sectors from farming to steel and others have expressed concern of catastrophe in their industries from the impact of the strike while Transnet on Friday declared force majeure.
“It now depends on what Transnet comes to the table with on Monday when we have the Section 150 discussions with the CCMA on picketing rules and possible renegotiation. We hope they come with an offer that is aligned with our demands. We hope they realise the guidance and possible options we have given them,” United Transport Union secretary-general Cobus van Vuuren said on Sunday.
He confirmed Retusa had also given its notice and said that though it was a minor union, it would still have an impact on Transnet’s operations.
In a statement on Sunday, Transnet confirmed the CCMA engagements for Monday and urged labour to accept the offer on the table.
“Transnet continues to engage with organised labour, to find an amicable solution to the ongoing industrial action, which has a profoundly negative impact not only on employees and the company, but on the economy as well. We are hopeful that the meeting will bring parties closer together in reaching an agreement which balances the needs of workers while protecting Transnet’s continued sustainability,” it said.
Van Vuuren and Satawu’s head of communications Amanda Tshemese accused Transnet of breaking the requirements of the Labour Relations Act by refusing to establish picketing rules.
“The employer has refused to sign the picketing rules. Not just that, the employer is also harassing our members. They sent SMSes to the workers telling them that, should they participate in the strike on Monday, there will be disciplinary action against them because the strike is illegal and they could be fired,“ Tshemese said.
Transnet lost a bid to interdict the strike in the Joburg Labour Court on Friday though it maintained that the court only dealt with whether the matter of the unprotected strike was urgent.
“The court did not deal with Transnet’s submissions on the defective notice period and the lack of a secret ballot and picketing rules. Therefore, Transnet remains of the view that the strike is unprotected. The decision of the court was to not hear the matter on Friday,” spokesperson Ayanda Shezi said.
The South African Association of Freight Forwarders (SAAFF) said according to the latest South African Revenue Services (Sars) merchandise stats, R343 billion worth of goods were traded by the country in August and considering that 70% of merchandise is processed via the ocean modality, the current inactivity blocks more than R8bn worth of goods each day.
“A one-day loss in port activity results in operationally a minimum of 10 days of recovery. However, the economic loss has a ripple effect on the economy, resulting in further foreign revenue loss at a time when our balance of trade is steadily deteriorating. Therefore, our estimates are conservative at best and losses will likely run more into the billions per day,” it said.
The South African Berries Association (BerriesZA) said the open-ended strike has occurred during the peak of the berry export season whereby a single day of ports not operating will have a significant knock-on effect on the entire berry value chain putting 30,000 livelihoods who depend on the industry at risk as well as millions of rand in export revenue.
“Compounding this problem is a surge in input costs faced by farmers including a hike in fertiliser and fuel prices as well as soaring freight rates. As a result, over a third of local berry producers are currently not profitable, which means their survival and the livelihoods they support are under severe threat. The latest strike action could be the final nail in the coffin for berry farmers, due to their harvest season running from September to November,” it said.
– BUSINESS REPORT
