Transnet in full recovery

State-owned rail and ports company, Transnet, says it is ramping up recovery plans across its operations after it reached a wage agreement with labour unions following nearly two weeks of industrial action.

The accepted wage offer includes:

• Year 1: a 6% increase in the basic wage for levels H to L, and 6% on the annual cost-to-company package for level G.
• Year 2: a 5.5% increase in the basic wage for levels H to L, and 5% on the annual cost-to-company package for level G.
• Year 3: a 6% increase in the basic wage for levels H to L, and 6% on the annual cost-to-company package for level G.
• An increase in the medical aid subsidy, in line with the increases in the basic wage, over the duration of the agreement. The increase on the medical subsidy for the 2022/23 financial year will be implemented from 1 October 2022.
• An increase in the housing allowance commencing from year 2023/24 and 2024/25.
• The back-pay for the period 1 April to 30 September 2022 will be paid in two tranches.

“Transnet continues to prioritise the safety of employees and assets, as operations prepare to ramp up. Engagements with customers and industry are ongoing, with joint planning to clear backlogs created as a result of the industrial action.

“On the rail side, trolley trips are being undertaken to assess the safety of the railway network, as well as inspection of rolling stock to ensure trains are declared safe before services resume fully. Repairs to sections of the network affected by theft and vandalism are also being undertaken,” the company said.

Transnet said the bulk of the work at the ports will be on ensuring that backlogs are cleared.

“At the ports, focus remains on clearing the backlog of vessels at anchorage and alongside the quay, including bulk, break bulk and containers. Evacuation of imports out of the port is underway in order to create fluidity within the terminals, with the immediate focus being on perishable and time-sensitive cargo.

“All eight commercial ports remain accessible. Transnet Pipelines continues to transport fuel to the inland market, with contingencies in place to ensure security of supply,” Transnet.