Settlement reached at Northam’s Zondereinde mine

Johannesburg, Tuesday 21 January 2014. Northam management is pleased to advise that the strike at the company’s Zondereinde mine has ended. Employees are expected to return to work tomorrow, Wednesday 22 January 2014. This follows the signing of a two-year wage agreement this afternoon.

The two-year wage agreement is based on increases on basic wages of 8.5% to 9.5% for Category 2 to 8 employees, and a 9% increase in the living out allowance; Category 9 to 10 employees’ increases range from 7.5% to 8%, with a living out allowance increase of 7%.

Upon return to work, the company will pay an ex-gratia amount of R3 000. The terms for payment of the ex-gratia amount will be applied in the manner elected by employees, i.e. either upfront or over time.

Northam’s revenue losses are estimated at R749.7 million and employees have lost R151.7 million in wages.

Northam chief executive Glyn Lewis noted today that the focus now would be on ensuring a safe and expeditious return to work and start-up of operations.

Issued by
Russell & Associates
Johannesburg
Tel +27 (0)11 880 3924