Tyre sector workers to receive three-year wage Increase in South Africa
Workers in the tyre sector are set to see a major boost in their pay after the National Union of Metalworkers of South Africa (NUMSA) signed a three-year wage agreement.
Image: Independent Media Archives
Workers in the tyre sector are set to see a major boost in their pay after the National Union of Metalworkers of South Africa (NUMSA) signed a three-year wage agreement.
In a statement released to the media on Friday, the union announced that it had reached an agreement with employers, under which employees will receive annual across-the-board wage increases of 5.5% from July 2025, followed by 5% in both 2026 and 2027.
The deal also ensures that by June 2028, all qualifying workers will be earning the maximum rate for their grade.
"These increases will be applied annually and are backdated to the effective start date of the agreement. In addition to the ATB increases, NUMSA secured a commitment to move qualifying employees from the minimum to the maximum rate per grade over the three-year period," the union said.
According to the union, employees currently earning below the maximum rate will receive additional annual increases to close the gap, ensuring that by 30 June 2028, all qualifying employees employed before 30 June 2025 will reach the top of their grade.
The union also revealed a new housing initiative, under which employers and employees will contribute 10 cents per hour into a housing fund to support future housing needs.
"NUMSA also negotiated a contribution of 10 cents per hour from both employers and employees into a housing fund to support future housing needs. This initiative will be managed in a tax-effective manner and elevated to the Bargaining Council for implementation.
"This agreement reflects NUMSA’s unwavering commitment to improving the lives of workers. We encourage all workers in the tyre sector who are not yet members to join NUMSA and be part of a union that delivers"
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