WESTONARIA, South Africa, Sept 4 (Reuters) – A strike for higher pay hit production at most of South Africa’s gold mines on Wednesday, but the main union behind the stoppage said it was willing to relax some of its demands.
The stoppage, called by the National Union of Mineworkers (NUM), began at the evening shift on Tuesday, with many miners refusing to go underground.
Producers grouped in the Chamber of Mines said output at 16 of the 23 mines currently involved in talks was partially or severely affected on Wednesday morning. The operators of the mines include South Africa’s main producers AngloGold Ashanti, Gold Fields, Harmony Gold and Sibanye Gold.
“The majority of Harmony’s operations have been severely affected, although all essential services personnel are at work,” the company said in a statement.
However, the NUM, which represents two thirds of the country’s gold mine workers, has already opened the prospect of a compromise, saying it was prepared to lower its pay increase demands for some specific employee categories.
NUM spokesman Lesiba Seshoka said the gold producers had made some proposals during talks in a bid to reach a deal.
“I can’t say whether there was an improvement on the (pay rise) offer but they have made some proposals,” Seshoka said.
He said the union would consult its members on Thursday.
In another positive sign, junior producers Village Main Reef and Pan African Resources said they had made separate pay agreements with NUM members in their workforces.
The gold industry stoppage is seen costing South Africa around $35 million a day in lost production, adding to the nation’s economic woes as strikes over pay reduce output in other industries such as auto manufacturing.
“We’re not working,” said a striking miner at Gold Fields’ South Deep mine at Westonaria west of Johannesburg. “We’ll only go back down when we get our percentage that we’ve asked for. We’ve been begging them for too long now,” he added, asking not to be named.
Several gold mines visited by Reuters appeared quiet on Wednesday, with security guards refusing to let reporters into the properties.
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