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The COSATU-affiliated Southern African Clothing & Textile Workers' Union (SACTWU) has secured a new wage settlement for its footwear sector members.
The terms of this new collective agreement prescribes that footwear sector workers in South Africa will receive a 6.25% wage increase, with effect from 1 July 2021.
This will be supplemented with a further 0.25% wage increase on current rates of pay, with effect from 1 January next year.
The negotiations were conducted virtually, constituting variation negotiations of a previous collective agreement. This became necessary, taking into account the COVID-19 pandemic economic slow down effects.
The agreement further provides that the severance pay of any employee who is unfortunately retrenched between now and June next year, will be calculated on a higher wage rate, determined as the rate applicable as at June this year, plus 7.5%.
This new collective agreement was recently concluded with the Southern African Footwear & Leather Industries Association (SAFLIA), under the auspices of the National Bargaining Council for the Leather Industry of South Africa.
We are pleased that we were able to secure this wage increase for our footwear sector members, through robust collective bargaining under extremely difficult COVID-19 pandemic conditions.
Early next year, we will commence fresh negotiations for new wage increases to become effective from 1 July 2022.
Issued by SACTWU