South Africa's gold mining unions have revised their wage demands downward in negotiations with Sibanye-Stillwater, presenting surprisingly moderate proposals despite record-high gold prices. The unions declared a dispute on 9 October after talks deadlocked, but recent adjustments suggest a strike is unlikely. This reflects decades of wage improvements and reduced labor militancy in the sector.
The gold price has more than doubled over the past two years, recently exceeding $4,300 an ounce, creating favorable conditions for mining companies. Yet, unions including the National Union of Mineworkers (NUM), Association of Mineworkers and Construction Union (Amcu), Uasa, and Solidarity have shown restraint in wage talks with Sibanye-Stillwater's gold unit.
Negotiations deadlocked on 9 October, prompting a dispute declaration and mediation by the Commission for Conciliation, Mediation and Arbitration (CCMA). Sibanye offered a 4.5% increase over three years, aligning with September's 3.4% inflation rate. Initial union demands included R1,500 monthly hikes for category 4 to 8 miners—the lowest-paid—and 8% annual increases for skilled workers. NUM later revised these to R1,300 hikes for lower categories and 6.5% yearly for officials, miners, and artisans, narrowing the gap significantly. Sibanye is set to respond on 29 October.
This moderation contrasts with past militancy. In 2015, NUM demanded 75% increases amid falling gold prices; in 2013, demands reached 60%. Unions now present a united front, a shift solidified in 2021 when Harmony Gold signed a deal with five unions, ending violent rivalries that killed scores of miners.
Wages have risen sharply since apartheid-era suppression. Minerals Council data shows average annual remuneration grew from R59,784 in 2001 to R411,000 in 2024 for 474,876 workers. Entry-level miners earn about R270,000 yearly, including packages. At Sibanye's gold mines, basic monthly wages for category 4-8 surface workers range from R12,902 to R15,701, and underground from R13,602 to R17,200.
Safety has improved dramatically: 2024 saw 42 miner deaths, a record low compared to 800 in the 1980s. These gains, driven by union activism post-apartheid, have blunted class conflicts, fostering reasonable demands even as gold and platinum prices soar.