Auto strike in South Africa nears end

A strike that has brought auto production to a near halt is coming to an end after a deal is secured, the National Union of Metalworkers of South Africa (NUMSA) said on Sunday. More than 30,000 workers will return to work on Monday, ending a strike that has continued for three weeks, the union said. Employers have agreed to the workers' demands, which include an 11.5-percent wage increase for this year, 10-percent for 2014 and 2015, NUMSA General Secretary Irvin Jim said. The solution also included allowance of transport and housing. Most workers were happy with the deal but only those at Toyota in Durban and BMW in Pretoria were unhappy, according to Jim. The prolonged strike dealt a heavy blow to the auto industry in the country, affecting all major auto producers, included Toyota, BMW, Ford, General Motors, Volkswagen and Mercedes-Benz. The daily loss in production ran into about 600 million rands, according to the National Association Automobile Manufacturers of South Africa (NAAMSA). The NUMSA called the strike after employers rejected workers' demand for a 14-percent increase in pay. In talks with auto companies, the union reportedly adjusted its wage demand to 10 percent, 11 percent and 12 percent for a three- year agreement. Employers initially offered an 8-percent increase, an offer rejected by the NUMSA.