Car, dock and railway workers strike

More than 20,000 South African car industry workers have begun an indefinite strike in a dispute over pay. Industrial action is taking place at seven car assembly plants across the country after weekend negotiations broke down. Car manufacturers have offered workers a 7.5 percent increase in wages but the National Union of Metal Workers of South Africa (NUMSA) are pushing for a 12 percent salary increase.

Fears exist that the strike could make South Africa less attractive to investors, as well as jeopardising hard currency earnings. The companies affected include Daimler Chrysler, Delta, Ford and Volkswagen. These companies have all been awarded multi-million dollar export contracts to supply vehicles and components to their parent companies. Car manufacturing makes up a large part of South Africa’s economy, employing about 30,000 people. It is also one of the biggest sources of overseas cash currency.

Meanwhile in neighbouring Mozambique, Maputo’s port and the railways in the south of the country hit a near standstill on Monday as hundreds of workers went on strike to demand salary increases. The strike action was taken after a breakdown in talks between workers and the management of the publicly owned Mozambique port and railway company (CFM). The two sides met all day on Monday in an effort to strike a deal, as workers protested peacefully outside the CFM administration building.

Among their grievances, the port and railway workers demanded a minimum monthly salary equivalent to US $100. Workers in central and northern Mozambique were generally not heeding the strike, according to Radio Mozambique.