Transnet announced on Monday that it had reached a three-year wage agreement with its majority union UNTU, while Satawu at this stage has not accepted the offer.

The offer is applicable for the period 1 April 2022 to 31 March 2025, in a process mediated by the Commission for Conciliation, Mediation and Arbitration (CCMA).

This ends the current industrial action by UNTU members with immediate effect, while Satawu has indicated its members will remain on the picket line, as they hold out for an inflation related increase.

Transnet says its priority now is clearing any backlogs across the port and rail system – prioritising urgent and time-sensitive cargo, and implementing recovery plans, working with industry and customers.

As at 30 September 2022, UNTU had 24 992 members, accounting for 53,9% of bargaining unit employees at Transnet.

The agreement, which applies to all bargaining unit employees including those who are not members of UNTU, is effective from 1 April 2022, and will be implemented from 1 October 2022.

It includes the following elements:

• Year 1: a 6,0% increase in the basic wage for levels H to L, and 6,0% on the annual cost-to-company package for level G.
• Year 2: a 5,5% increase in the basic wage for levels H to L, and 5,5% on the annual cost-to-company package for level G.
• Year 3: a 6,0% increase in the basic wage for levels H to L, and 6,0% on the annual cost-to-company package for level G.
• An increase in the medical aid subsidy, in line with the increases in the basic wage, over the duration of the agreement. The increase on the medical subsidy for the 2022/23 financial year will be implemented from 1 October 2022.
• An increase in the housing allowance commencing from year 2023/24 and 2024/25.
• The back-pay for the period 1 April to 30 September 2022 will be paid in two tranches – three months’ back-pay on 15 November 2022, and three months’ back-pay on 16 January 2023.

The Transnet strike has already cost the country billions in lost export and import income with freight-rail and ports operating at below 40% over the last few weeks as a result of the strike.

Earlier, the Western Cape Government said over 12 000 jobs in the berry industry, which include 4 000 permanent jobs and 8 000 seasonal jobs, were on the line should the ongoing Transnet strike not be urgently resolved.

The citrus export season has ended, and the stone fruit season is due to start in earnest in November, making this a key time for berry exports, specifically blueberries.

It is also estimated that between 80% and 90% of those employed in the berry industry are women.