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Logistics

Transnet warns union against industrial action

04 Apr 2025 - by Staff reporter
Dr Andile Sangqu, non–executive director and chairperson of Transnet's board. Source: Rhodes University
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South Africa’s state-owned logistics utility has warned the United National Transport Union (Untu) against embarking on unprotected industrial action after the union filed a mutual interest dispute with the Transnet Bargaining Council this week.

Transnet said in a statement on Thursday that it had “noted” the dispute and sent correspondence to Untu and to the Transnet Bargaining Council regarding the matter, in which it had set out the manner in which the final offer would be implemented for bargaining unit employees.

This comes after Untu put Transnet on 48 hours’ notice this week, demanding that the employer confirm exactly how it planned to implement its final wage offer after the union rejected the proposal last week.

Minority trade union, the South African Transport and Allied Workers Union (Satawu), last week accepted Transnet’s offer of a 6% across-the-board wage increase in 2025 and 2026 and 5.5% in 2027.

Transnet said it would implement the final offer for Satawu members and all other bargaining unit employees who are not members of Untu in accordance with the terms of the wage agreement.

“In light of Untu’s rejection of Transnet’s final offer, as well as the mutual interest dispute referred to the Transnet Bargaining Council by Untu on April 2, the final offer will not be implemented for employees who are members of Untu,” Transnet said.

“In addition, Transnet has requested Untu to immediately communicate to its members that any strike action or any form of industrial action that takes place before the mutual interest dispute is concluded will be unprotected.

“Throughout the negotiation process, Transnet has engaged in good faith with the two recognised trade unions to reach a mutually acceptable wage agreement in the best interests of the employees, our organisation, and the economy, and focused on improving operational and financial performance,” the ports operator said.

Transnet said it believed its inflation-based increase was “fair, equitable (and) in line with creating a stable, sustainable future for Transnet and the country”.

The ports operator said it remained committed to the collective bargaining process and that it was willing to resolve the outstanding issues with Untu in the interests of employees, the company and the country.

Transnet told Freight News on Monday that it had noted Untu’s “public utterances” regarding the implementation of the wage agreement it had signed with Satawu.

“It is unfortunate that Untu chose to publish a confidential letter addressed to the chairperson of the board before affording him an opportunity to provide a response,” Transnet said.

However, it said Dr Andile Sangqu, non–executive director and chairperson of the board, had subsequently replied to the union.

“We believe that concerns raised by Untu should be addressed through the established negotiation framework as dictated by South African labour law and collective bargaining practices which have been set up to create a conducive environment for fair and mutually acceptable agreements.

“It is therefore imperative that all parties adhere to the stipulated procedures which outline their respective rights and obligations. The collective bargaining structures are designed to create a stable and fair environment for resolving labour disputes.”

Transnet added that it was committed to fostering a collaborative relationship and structured dialogue with labour unions. 

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