It’s the first day of the strike, on January 23, and a huge crowd gathers at the Wonderkop Stadium, near Rustenburg in South Africa, to listen to Joseph Mathunjwa, the chairman of the Association of Construction and Mineworkers Union (Amcu). Seventy thousand union members have downed tools at the platinum mines.
As early as 7AM, police officers and the mine’s security guards keep watch. The venue is surrounded by razor wire and armored vehicles. The stadium is a few hundred meters from Marikana, the site where 44 people died in a clash between striking miners and police in August, 2012.
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“People are watching this strike, speculating it is Marikana II. That will not happen. We’re peacefully fighting for our rights as workers. We want a better life. The blood of our brothers was shed fighting for better wages. We won’t betray them,” Mathunjwa says in Zulu to the roaring crowd.
Despite the leadership’s assurance of a peaceful protest, a few strikers are seen carrying traditional weapons, sjamboks (heavy whips) and sticks.
“It is not a foreign thing for Nguni men (a broad ethnic group of South Africa) to carry their sjamboks and sticks. We are not going to war or planning to violate others rights to choose who to associate with,” says Jack Mkhoba, the chairperson for Amcu’s Lonmin branch.
Mathunjwa calls for tolerance and respect for those who continue working. The National Union of Mineworkers (NUM), which lost its majority at the platinum mines to Amcu, is not part of the strike. There is still simmering tension between the unions.
Mathunjwa also accuses the mine of trying to make the negotiations drag on.
“The time to fool around with black people is over. The African economy must benefit Africans. We are not negotiating percentages, they mean nothing to us; we only understand the rand, our currency.”
Mathunjwa says the government, media and economists are too quick to criticize the union  for destabilizing the economy.
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“When CEOs and bosses give themselves more than R21 million ($1.9 million) in bonuses, they do not condemn that. Whose side are they on?”
Mathunjwa had the crowd in stitches when he shared anecdotes of the encounters he had with the management of the mining companies.
“One Sunday afternoon, I was invited over by the employers. Upon leaving the discussion, I left them with homework to figure out how much they are spending on their dogs, which is ridiculously way over what the employees take home?”
James Nichol, the British lawyer representing the victims of Marikana, gave the workers a surprise visit in a striped red tie. He stood out like a sore thumb.
Nichol danced to struggle songs with the workers and encouraged them to fight for their demands.
“It’s your duty to get justice for yourselves and families by fighting for R12,500,” says Nichol.
Amcu’s national organizer, Dumisani Nkalityana, encouraged the strikers to not let up.
“There’s no red carpet towards achieving our demands, we need to make sure we make it for ourselves,” he says.
The union members are far from united. A faction of Amcu say Mathunjwa is a dictator and accuse him of living large at the expense of workers. Mathunjwa dismisses the allegations, referring to the group as mischievous former Amcu members.
The mines, losing a fortune every day the strike continues, are hoping a solution can be found-quickly.
On this day, Anglo American Platinum, the largest platinum company, says its losing approximately 4,000 ounces and R100 million ($9 million) per day.
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“We are adamant that we will continue to engage with Amcu and have accepted the offer by the deputy president for a government-facilitated mediation process in order to find a resolution. Striking is not a constructive solution if we are to return the company to a sustainable financial footing and secure existing jobs,” says Chris Griffith, the CEO of Anglo American Platinum.
Griffith says the company will work with law enforcement agencies to help maintain peace and stability during the strike. His words were in vain.
Anglo American reported a 10% employee attendance rate on the first day of the strike and closed operations.
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DAY TWO
On the second day of the strike, South Africa’s mining minister, Susan Shabangu, brokers a three-day wage negotiation between Amcu and three of the big mining companies at the Southern Sun Hotel in Pretoria. Amcu books rooms at the hotel for its officials.
The Commission for Conciliation, Mediation and Arbitration (CCMA) is appointed as the facilitator between the union and Anglo American Platinum (Amplats), Impala Platinum (Implats) and Lonmin. The companies’ initial offer of an 8.5% increase falls short of the union’s demand of a R12,500 salary for entry level employees.
By the end of the negotiations, the mines have a new offer of 9% on the table. Amcu is unimpressed.
“How can you be satisfied with an offer that does not address the living wage?” asks Amcu spokesman, Jimmy Gama.
“The talks were cordially conducted in a positive atmosphere but I can’t say they were amicable as we are not getting what we wanted, which is R12,500.”
The companies’ response is unchanged. They say the demands are unrealistic and unreasonable.
“We are not issuing any threats to anybody at this point. We are very clear that employers can afford what the union demands,” adds Joseph Maqhekeni, the chairman of National Council of Trade Unions (Nactu)—the federation that Amcu is affiliated to.
On the last day of negotiations, union members are seen checking out of the hotel. It doesn’t look good. They are in a somber mood and are seen milling around nervously. Two shop stewards play struggle songs and the national anthem, Nkosi sikelel’ iAfrika, on the hotel’s piano.
Most of the union members do not believe they will receive positive news; they are all keen to continue with the strike.
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DAY EIGHT
January 30 is D-day for the striking mineworkers. An offer of a 9% wage increase is on the table.
On a scorching morning, Amcu members, in their green union shirts, gather outside mine shafts around the North West province of South Africa to hear from shop stewards on the negotiations.
Striking workers at Amplats’ mine in Bleskop, Rustenburg, are among the first to turn down the revised wage increase. The mineworkers sit in the shade of a tree, talking and drinking beer. At least it is peaceful. A security guard confirms there is no intimidation.
At Batho Pele mine, another Amplats operation a few kilometers away, striking miners play cards and listen to music in their cars. Under the watch of security guards in armoured vehicles, the miners meet in the shade of a marquee.
The irate miners stand firm. They say the increase is insufficient and will not cover their bonds or match rising inflation.
Meanwhile, the mining bosses are counting the cost. Griffith says the strike halted production of around 40% of global platinum supply.
“We estimate that the daily cost to the country is closer to R400 million ($36 million) a day,” he says.
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DAY 15
A week later, a clash between strikers and police officers, at the Amplats mine in Limpopo, sees the death of a shop steward. A non-striking miner also was attacked near the Khuseleka mine in Rustenburg, while one vehicle and an excavator were set alight. Fourteen other vehicles were also damaged.
“It is with sadness that we learnt of the death of one of our employees. We extend our heartfelt condolences to the families, friends and colleagues of the deceased. We strongly urge striking employees to adhere to the picketing rules and remain within the picketing designated areas as agreed with Amcu. We condemn any act of violence, intimidation and damage to property,” says Griffith.
This violent period does not deter strikers. As of going to print, there was no end in sight to one of the most expensive strikes in African history.

‘The Time To Fool Around With Black People Is Over’

Growing up in Apartheid South Africa, examples of bravery, heroism and inspirational humanity were all around me. Some of my heroes were personal; ordinary people working quietly to overcome injustice and keep their dignity, while trying to escape poverty.
Other heroes I share with the world: Nelson Mandela, Oliver Tambo, JB Marks, Walter and Albertina Sisulu.
But my greatest hero of all was my mother – widowed with three children, living in a poor Cape Flats community. She showed me every day that our circumstances need not define us, and how important it is to balance strength and determination with love, kindness and humanity. My mother showed me how to be brave.
My heroes shaped the value system that defines who I am today – values such as equality and equity, diversity and inclusivity, freedom and responsibility, hope and faith for the future.
I believe that social and economic justice must prevail. I believe in the importance of remaining grounded and humble. And I believe in my ability to achieve anything I set my mind to.
My first chance to test these values came when I was thrust into the minefield of labor negotiations at the National Union of Mineworkers (NUM).
As a union, we had to succeed, because the work we were doing impacted on the lives of hundreds of thousands of black mineworkers. And they were depending on us to safeguard their livelihoods and improve their lives.
Working at the NUM taught me a great deal and laid the foundation for my future in the corporate world. In order to do my job – negotiating increased wages and improved conditions of employment – I had to master all of the issues, irrespective of their complexity.
I learnt that success lies in finding the balance between legitimate business imperatives and our broader, human responsibility to make a positive, sustainable contribution to society.
Naturally, the issues we dealt with were emotionally charged. We had to negotiate professionally and responsibly, navigating the inevitable trade-offs, to ensure that mineworkers’ lives improved while the company made money. Afterwards, we needed to explain the issues and solutions to our members in an accessible way.
The nature of the challenge led to three important lessons.
First, learn fearlessly. Follow that old piece of advice: when others sleep, you read. Secondly, never think that you know everything; have the humility and courage to keep asking until you understand. Do not be afraid to make mistakes.
And thirdly, you only really understand something when you can explain it, in simple terms, in less than three minutes.
These lessons guided me when I moved from the negotiating table to the boardroom table. As an executive director at Johnnic, which at the time was an industrial conglomerate, I represented the unions and the black business consortium.
I also had the opportunity to play a leading role in the negotiation of a number of transactions that ultimately led to Johnnic’s makeover as a focused media, entertainment and telecommunications group. One of these contracts resulted in the reverse-listing of MTN Holdings through M-Cell Limited, and the subsequent transformation of the mobile operator into one of the pre-eminent black-empowered companies on the Johannesburg Stock Exchange.
At MTN, I became aware of the inc-
redible impact that information and communications technology can have on people’s lives. Access to information and the ability to communicate makes us masters of our own destinies, empowered to uplift families, communities, businesses, and ultim-ately, the societies in which we live.
The statistics speak for themselves. According to the World Bank, for every 10% increase in broadband penetration, there is a 2-3% increase in employment and a 1.38 percentage point increase in gross domestic product.
This realization, and the freedom that I felt after achieving my objectives at MTN, inspired me to establish Smile Communications.
An African telecommunications operator, Smile has a presence in Tanzania, Uganda, the DRC and Nigeria.
Our mission is testimony to what I have learnt: To deliver affordable, high-quality and easy-to-use broadband access and communication services across Africa, using low-cost, innovative business models and technologies.
Although my journey is – hopefully – nowhere near its end, I suspect that some of the most important lessons still lie ahead. Every day, when I step into the office, I feel that in some small way I am making a contribution to changing the world for the better. That sense of mission makes every problem surmountable and every victory more meaningful.

Making a difference: Irene Charnley’s journey in the corporate world

Strikes have hit Africa’s biggest economy with a vengeance and the losses are high.
Hundreds of thousands of South African employees went on strike, crippling the gold mines, car factories, petrol forecourts, and the national airline South African Airways (SAA) in August and September.
Towards the beginning of September, the National Union of Metalworkers of South Africa (Numsa) ended a three-week strike of around 30,000 workers in the motor manufacturing industry, after accepting a revised wage offer from  Volkswagen, Nissan, Ford and Toyota.
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However, as car manufacturers returned to work, thousands of petrol station attendants, affiliated to Numsa, downed tools after serving a 48-hour notice of strike action.
Their demands included a R30 ($3) per hour increase and that maternity leave be paid in full.
The SAA employees, affiliated to the South African Transport and Allied Workers Union (Satawu), ended a 15-day strike a day later.
By far the most expensive strike was the one organized by the National Union of Mineworkers (NUM) in the gold mining industry, which was reported to have cost R32 million ($3.2 million) per day. In 2012, similar strikes cost companies R349 million ($35 million) a day and employees lost a total of R100 million ($10 million) in salaries each day.
The strike was effectively ended when NUM, the United Association of South Africa (Uasa) and Solidarity accepted an 8% wage hike, backing off from its initial demand of 15%.
In addition to the wage increase, the monthly living allowance of miners was raised from R1,640 ($164) to R2,000 ($200).
The Association of Mineworkers and Construction Union (Amcu), however, refused to accept the pay deal. The mining companies were taking a hard-line stance and refusing to give in to the demands while the union was threatening a second strike.
The morning after the strike began, when FORBES AFRICA visited the mining area in Carletonville, Johannesburg, a handful of NUM members gathered outside the union’s office at Sibanye Gold mine in Driefontein, as rival union members reported for work.
“An estimated 14,000 miners had downed tools in the area of Carletonville on Tuesday evening. Our members have not clocked in for the night shift at several mines. The strike is on,” says Mbuyiseli Hibana, NUM regional secretary.
Amcu spokesperson, Jimmy Gama, tells FORBES AFRICA the union had not been given a mandate and was considering strike action.
“We remain unchanged to our wage increase demands. We rejected the offered 6.5%. Amcu demands a living wage of R12,500 ($1,250) and R11,500 ($1,150) for underground and surface employees respectively,” says Gama.
All labor unions in the gold mining sector, besides Amcu, have accepted the revised offer and operations at the mines are back to normal.
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The Chamber of Mines had confirmed that it would continue to talk with Amcu in an attempt to get everyone back to work.
“This tentative agreement is encouraging because it signals a number of important developments for an industry battered by labor instability, fast rising costs, declining market conditions, and continued regulatory uncertainty,” says mining analyst and Eunomix managing director, Claude Baissac.
“Unions have been forced to change their strategy from one of expecting large increases to one that is more achievable. If initial demands were completely unrealistic, these demands were largely part of the posturing unions are doing in relation to one another, notably NUM, and Amcu, the disruptive newcomer. They needed to show their members and each other that they will fight on for the best deal.”
That fight is far from over.

Strikes Strafe  Africa’s Biggest Economy

Less than nine months after the shooting that shocked the world, conflict and tension are back at the richest mines in Africa. Thirty four miners were shot and killed, on August 16, following a week of wildcat strikes in Marikana, South Africa. Now the platinum belt is at war once again.
Miners at Lonmin downed tools for two days following the death of a union leader. The wildcat strike sent share prices tumbling a day after the company had posted positive results. Lonmin shares fell more than 10% over the two days while the rand retreated to a three-week low against the dollar, on fears that the unrest might spread across a sector that accounts for nearly half of South Africa’s foreign exchange earnings.
As an inquiry into the deaths of the 34 miners continued around 40kms away, in Rustenburg, hundreds of miners belonging to the Association of Mineworkers and Construction Union (Amcu) marched to the infamous koppie, where the massacre occurred.
In 2012, the strike was over wages; this time around it was union rivalry. Amcu accused the National Union of Mineworkers (NUM) of killing one of their office bearers. NUM denies it. Amcu, which has 70% of the membership at Lonmin, is demanding NUM leave their offices at the mine.
In the scorching heat of Marikana, it was a menacing site as miners chanted and danced their way to Wonderkop Stadium. More than 6,000 Amcu members chanted anti-NUM slogans and sang: “Who killed Steve, the man we loved so much”. This referred to the killing of 46-year-old Mawethu Steven, a shop steward who was shot dead while watching football at a tavern on May 11.
“If they have proof of us committing the killings then they must take it to the police,” says Lesiba Seshoka, spokesperson of NUM.
Following a marathon of meetings with Lonmin management, Amcu regional leaders addressed members at the packed stadium just after 4PM on a day where they vowed not to return to work until Lonmin management had kicked out NUM.
Addressing members, who were sitting on the grass using a loudspeaker system, an Amcu leader said the meeting they had attended yielded no results, as Lonmin management had declined to shut down NUM offices.
“The main issue at the meeting was our demand for the closure of NUM offices. After a meeting that started at 5AM, there’s nothing we’re bringing to you. What they [Lonmin] are saying is that they want you to go back to work,” says the leader.
Members reacted angrily and refused to go back to work at the 13 shafts that lay idle at Lonmin. Following deliberations, the leaders invited six workers from the 13 shafts, which have been affected by the strike to respond to the outcome of the meeting.
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All six workers said their co-workers would not return to work because management and government are colluding with NUM. They added that they [Lonmin and government] are allowing their members to carry dangerous weapons to the shafts.
“The employer is clearly showing that he is sleeping with NUM and government. We are not going back to work until NUM vacates the mine,” he says.
Another miner refusing to go back to work said: “What management is saying is the same as farting under water—you can’t hear it”.
Three days later, miners made a U-turn and returned underground.
Meanwhile at Anglo American Platinum (Amplats) Rustenburg, the planned retrenchment of 6,000 miners is set to get ugly. Miners are prepared to fight back and embark on a massive strike that will halt production and send shockwaves around platinum shares.
Workers committee member Evans Ramokga says the company is not backing down on retrenchments, and workers had taken it upon themselves to fight. He says after mass meetings at different shafts, workers have decided to go on strike.
“Unions have done their part and negotiated on our behalves. Now the workers have decided to lead their cause. No one is happy about the retrenchments. Workers are saying if Amplats cannot run the mines they must leave and surrender the mines to another company that will save jobs,” says Ramokga.
Meanwhile on May 21, security guards fired rubber bullets at strikers at Lanxess mine, Rustenburg—one of the biggest suppliers of chrome ore. Five people were injured. The illegal strike was over bonuses.
Days of unrest lie ahead.

Tag: Union of Mineworkers

FORBES AFRICA SOCIAL MEDIA

‘The Time To Fool Around With Black People Is Over’

Making a difference: Irene Charnley’s journey in the corporate world

Strikes Strafe Africa’s Biggest Economy

The Ghosts Of Marikana