Business Report Economy

NUM strikes at Harmony today over medical aid

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Johannesburg - Thousands of members of the National Union of Mineworkers (NUM) in the Free State will take part in protests today against Harmony gold mine's unilateral introduction of a medical aid scheme.

They will join 5 000 NUM members at Harmony's Randfontein gold mine, where strike action started on Thursday night after the union failed to resolve the impasse on a disputed living-out allowance.

NUM official Charles Stofile said mass protests would take part in Odendaalsrus, Welkom and other operations.

He said the dispute centred around Harmony's Joint Venture plan to introduce a medical aid that requires the principal member to contribute 100 percent towards medical bills.

Also in contention is the scheme's exclusion of dependents. Should members wish to include dependents, they will have to pay between R300 and R750 a month for each dependent.

"We feel this medical aid is beyond members' capacity,'' Stofile said. "Mineworkers earn less, and given this reality and the rise in basic food prices, it is strange how Joint Venture companies expect them to afford this medical aid.

"While we are not opposed to the introduction of a medical aid, we feel we have to be given a choice in terms of which scheme we want to belong to."

David Thatcher, the human resources manager of Harmony, said the firm was in discussions with the NUM to find out the medical aid needs of members. "At the same time, we are trying to match their needs to ours. Our wish is to maintain an in-house scheme where we can best look after our employees' interests.''

Harmony's Kalgold operation enters its second week of industrial action, with 250 members of the NUM demanding a 12 percent wage increase against the firm's offer of 5.5 percent; a housing allowance consistent with other Harmony operations; and a transport allowance of R700.

Ferdi Dippenaar, the firm's marketing director, said: "We have been in ongoing negotiations with the NUM. Operations are not affected in terms of production."