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Ford South Africa hit by Strike


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South African autoworkers seeking wage increases more than triple the inflation rate went on an indefinite strike on Wednesday, slamming the brakes on auto production in Africa's largest economy.

 

The powerful National Union of Metalworkers of South Africa (NUMSA), which represents 31 000 autoworkers, said it had rejected employers' offer of a 7% increase in the first year and a raise equal to consumer price inflation in the remaining two years.

 

The union is demanding a 15% wage increase, well above inflation, which was at 4,2% in July.

 

"The employers should come on board because we have been negotiating with them for a period of more than two months now. Nothing has come out concretely out of those negotiations," union spokesman Castro Ngobese said.

 

NUMSA has asked an industry group - which represents seven companies including Toyota Motor Corp, Ford Motor, Volkswagen AG and General Motors Co - for a one-year agreement guaranteeing a 15%t wage rise.

 

The other companies are Nissan Motor, BMW and Daimler AG's Mercedes-Benz division.

 

The South African unit of German carmaker BMW said its local plant was closed as of Wednesday until the strike was over.

 

http://www.engineeringnews.co.za/article/south-african-autoworkers-start-indefinite-strike-2010-08-11

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