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The Southern African Clothing & Textile Workers' Union (SACTWU) has secured a new wage agreement for its footwear sector members. As per the settlement terms, footwear sector workers in the country will receive a 6.25 per cent wage hike with effect from July 1. This will be supplemented with a further 0.25 per cent wage increase on current rates of pay with effect from January 1, 2022.
This new collective agreement was recently concluded with the Southern African Footwear & Leather Industries Association (SAFLIA), under the auspices of the National Bargaining Council for the Leather Industry of South Africa.
Conducted virtually, the negotiations became necessary, taking into account the COVID-19 pandemic and the economic slowdown induced by it.
The agreement further provides that the severance pay of any employee, who is retrenched between now and June next year, will be calculated on a higher wage rate, determined as the rate applicable as at June this year, plus 7.5 per cent, according to a press release from the union.
Early next year, the union will commence fresh negotiations for new wage increases to become effective from July 1, 2022.
Fibre2Fashion News Desk (DS)
The Southern African Clothing & Textile Workers' Union has secured a new wage agreement for its footwear sector members. As per the settlement, footwear sector workers will receive a 6.25 per cent wage hike with effect from July 1. This will be supplemented with a further 0.25 per cent wage increase on current rates of pay with effect from January 1, 2022.