Proactive Investors - Pan African Resources PLC (LON:PAFR) has signed a five-year wage deal with the National Union of Mineworkers (NUM), one of the two main unions at its Barberton Mines gold operations in South Africa.
The agreement covers the period from 1 June 2024 to 30 June 2029 and amounts to an average annual increase of approximately 5.3% per annum over the five-year period.
A current five-year wage agreement with UASA (the other representative union at Barberton Mines), entered into in 2021, is valid for another two years, until 30 June 2026.
That agreement provides for an increase of 5.0% or CPI, whichever is higher, capped at 6% with an option to re-negotiate
If inflation is below 4% or higher than 7.5%.
Barberton Mines’ ESOP has also matured with qualifying employees receiving dividends of more than R40 million during the scheme's tenor and more than 2,200 employees qualified for the final maturity payments.
Cobus Loots, Pan Arican’s chief executive, said: “We are pleased to have entered into multi-year wage agreements at Barberton Mines, which will ensure stability in labour relations at this operation over the coming years.
“The maturation of Barberton’s ESOP has also realised tangible benefits to all its participants.”