Steel giant Iscor said yesterday that demands being made by the National Union of Metalworkers of South Africa (Numsa) were “unreasonable” and “could permanently damage the company”.

However, Numsa has hardened its position and is calling for 50 000 workers from the heavy and light engineering, from the mining and component sectors to join in a solidarity strike in sympathy with the Iscor colleagues.

The union is calling for hardship compensation suffered as a result of large-scale restructuring at the organisation over the past few years.

Iscor added that acceding to the claims would have a knock-on effect on several industries including the mining, construction, packaging and automotive industries. Human resources director Abe Thebyane slammed the union’s claim for additional ‘hardship pay’, saying it could set a dangerous precedent for the country, particularly since Iscor had already paid employees R294-million for achieving re-engineering targets over a three-year period from 1998 to 2000.

Thebyane claimed that the company offered Numsa an initial R4,6-million, thereafter R6,75-million, for all unionised employees as a once-off ex-gratia payment for the restructuring, even though he says that there is no legal basis for this.

“We will be adding R26-million to the employees’ wages as a result of implementing a new salary structure at the company, the full package is very substantial,” said Thebyane.

He argued that it was now up to the union to moderate their demands and return to negotiating on a reasonable basis.

The company has confirmed that it is not experiencing any overall production losses since the strike is localised to specific areas within the company’s various plants where Numsa members are employed.

“Numsa have refused to commit to a process, which has resulted in intimidation and unruly behaviour from their membership.

“Consequently the company has asked the Commission for Conciliation, Mediation and Arbitration to intervene and facilitate the establishment of picketing rules,” said Thebyane.

However, acting Cosatu spokesperson Patrick Craven says that the two day old strike at Iscor is “gaining momentum” as more union members are supporting the strike. Commenting on the unruly behaviour reported by Thebyane, Craven says that it was unacceptable for the police to intervene on a protected strike action.

“The strike was peaceful and workers adhered to all the rules,” he said.

Craven believes that the company has undermined the intensity and seriousness of the strike action and says that equitable distribution of profits is the key to the dispute. Craven has called for an extended 50 000 “troops” to partake in the strike in accordance with the National Bargaining Conference decision to sympathise with their fellow colleagues. The spokesperson says that the strike has certainly affected the businesses of the company.