JOHANNESBURG, December 6, Reuters - Thousands of workers at companies under Massmart Holdings in South Africa, owned by Walmart Inc., will return to work after reaching an agreement over disputes, the labour union said on Monday.
Since November 19 workers have been on strike over low wages, a restructuring and changes to terms and conditions of employment, according to the disgruntled workers.
The unions at Builders Warehouse were demanding a wage increase of 500 rand $31.50 monthly, while Massmart offered an increase of 320 rand.
The unions wanted workers who had lost jobs due to restructuring at the general merchandise chain, Game, to be reinstated. Massmart had identified alternative jobs for those workers, according to Massmart.
In settlement agreements seen by Reuters and sent by the South African CommercialAfrican Commercial Catering and Allied Workers Union SACCAWU an affiliate of the powerful Congress of South African Trade UnionsSouth African Trade Unions COSATU, the parties agreed on an annual wage increase of 400 rand, or 4.5%, for all 45 hour permanent and 40 hour fixed employees who are union members.
The settlement agreements state that the retroactive effect will be effective from July 1, 2021.
They also agreed on an increase of 4.5% on the hourly rate for all permanent part time associates.
In another agreement, Massmart said it would try to reinstate Game retrenched workers into vacant positions across the company.
This has been a difficult time for those involved and we are pleased that the decision to end the strike will allow participating SACCAWU members to return to work, Massmart said in a statement.
The two-week strike had no effect on Massmart's operations as it hired contract employees to its stores.