Please note that salary increases for employees of members who operate gas stations and are registered in Sector 5 of the industry are subject to a profit margin adjustment in the retail sector. Members of the South African Petroleum Retailers` Association (SAPRA) will only be required to make wage increases for forecourt, C-store and washing machine workers once the Department of Mineral Resources and Energy (DMRE) has approved and implemented a simultaneous adjustment of the retail profit margin to compensate members for the agreed increases. In this regard, we will communicate separately with SAPRA members, including the date of the proposed margin adjustment. The above advice on exceptions and compensation applies equally to SAPRA members. Members would be aware of the MIBCO salary cycle, which runs annually from September 1 to August 31. In the meantime, the new wage plans should have been distributed to employers, either by MIBCO or by the RMI, but this has not yet been done, as the main agreement amended for year 2 of the three-year wage cycle has not yet been published by the Minister of Employment and Labour. Only a main agreement, published and extended, is mandatory for implementation and legally binding for all employers and all workers. An established agreement contains an implementation date (no retrotation) and as soon as we have such a date, all members will be updated by a circular containing the new salary plans and related provisions for the period up to August 31, 2021. We are aware of the serious financial and economic pressures that many Members have exerted following the long period of closure of operations linked to the COVID 19 pandemic and the associated Disaster.As, we would like to assure our members that the amended MIBCO main agreement, once it is published, will contain provisions allowing companies in financial difficulty to apply for a waiver from the implementation of these increases. An exemption is in fact a certificate that, if approved on the basis of certain financial criteria, is issued to an employer that authorizes that employer not to apply certain provisions of the agreement, such as wage increases and other unpaid cash items. The National Union of Metalworkers of South Africa (Numsa) has signed a three-year agreement with the Motor Industries Bargaining Council (MIBCO).
She says: ”Despite this, we have been able to get higher wages, especially for the lowest paid garage workers in the sector. We would like to thank our public servants for their tireless work to ensure these increases, and we urge them to continue to serve our members to the best of their ability. Members who are financially able to do so may choose to make wage increases on September 1, 2020 or prior to the release of the agreement, on an exclusively voluntary and non-prejudiced basis. If a member implements the increases in this way, he is not obliged to do so again as soon as the agreement is published, since the agreement contains an undefined provision authorizing compensation for the increases granted in the previous twelve months in relation to what is legally due and payable at the time of publication. Spokesman Phakamile Hlubi-Majola says this round of wage negotiations has been extremely difficult because of the economic challenges. The deadline for exemption applications is 30 days from the date the new agreement comes into force. As a result, members cannot, at this stage, apply for exemption from the implementation of these increases until the amended MIBCO main agreement is published in the government scoreboard. We will inform our members as soon as the agreement is published by Zirkel. South Africa`s automotive sector also employs about 306,000 workers. Numsa secured an 8% increase for garages, dealers and 7.5% for component manufacturers. Mibco represents automotive workers, including component companies, gas stations and car dealerships.