Aug 19, 2009

* Union says mobilising workers to strike

* Parties fail to agree on wages, duration of pay deal

(Adds quotes, details)

By James Macharia

JOHANNESBURG, Aug 19 (Reuters) - The main South African miners' union said on Wednesday it would start an indefinite strike next week at Impala Platinum, the world's No.2 platinum producer, over a wage dispute.

South Africa is the world's biggest platinum producer. A strike at Impala Platinum could hurt broader investor sentiment as it follows a wave of industrial action in South Africa in the past few weeks that has led to above-inflation pay settlements.

Lesiba Seshoka, spokesman for the National Union of Mineworkers (NUM) -- the country's biggest union -- told Reuters the union had rejected the company's latest pay offer and would mobilise its members for the strike.

"The strike could start either on Monday or Tuesday next week, and it will last until the issue is resolved," he said.

Impala Platinum officials could not be reached for comment.

Seshoka said the parties had failed to agree on both the size of the pay rise and the duration of a new agreement.

He said Impala Platinum had offered pay increases of between 9.5 and 10 percent to different categories of workers, while the union wanted a 10 percent rise for all workers.

"We also disagreed on the duration of the deal. We want a one-year deal so that we can re-negotiate after one year when prices of platinum may have recovered, but they offered a two-year wage deal," Seshoka said.

He said the mediating authority overseeing the talks had granted the union a certificate to strike after the breakdown of negotiations late on Wednesday. The union declared a dispute over pay in June, which meant the issue was referred to mediators, who were unable to broker an agreement.

The NUM called off a strike set for Thursday last week at state power firm Eskom [ESCJ.UL] that could have led to power cuts and further damage to Africa's biggest economy. The parties said they had reached a pay deal.

Last month the NUM reached above-inflation settlements with gold- and coal-mining companies. (Reporting by James Macharia, editing by Tim Pearce)

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