South African government mediators say wage talks between a mining union and three major platinum producers have been adjourned until next week.


The Commission for Conciliation, Mediation and Arbitration said in a statement on Saturday that the negotiations would continue on February 4.

The mediators also said that they had presented proposals, which both sides were to consider until the talks resume, but they were not allowed to reveal any details of the content of talks.

Jimmy Gama, treasurer with the Association of Mineworkers and Construction Union (AMCU), said that the employers “need time to reflect on the proposals, and they will do an offer on Tuesday.”

In response, the heads of the world’s top three platinum producers -- Anglo American Platinum (Amplats), Impala Platinum (Implats) and Lonmin -- said they would continue efforts to find a solution to the wage dispute.

However, producers raised the possibility of restructurings and layoffs if the strike would persist.

“Prolonged strike action will result in more losses, and further fundamental restructuring and, inevitably, this will have an impact on jobs and indeed the economy,” the CEOs said in a joint statement.

“Between our three companies we lose on average around 200 million rands (USD 18 million) per day in revenue,” the statement added.

The strike began on January 23, when some 88,000 mineworkers walked off from jobs at the three platinum companies, bringing the mining town of Rustenburg to a halt.

The strikers are seeking a minimum monthly wage of 12,500 rand (about USD 1,200) for entry-level workers, which is more than double the current wage.

In 2012, the same wage demand sparked mass strikes that resulted in the police shooting dead 34 miners in one day.

The mining sector directly employs around 500,000 people and accounts for nearly one-fifth of the country’s gross domestic product.