South African Gold Miners End Strike

Striking South African gold miners returned to work Friday after the National Union of Mineworkers (NUM) agreed to 6 - 7 percent wage increases late Thursday.

“The majority are happy. For the next two years we will not be having major problems in the industry,” said NUM spokesman Moferefere Lekorotsoana.

The majority, but not all. The United Association of South Africa, another union representing gold miners who did not join the strike, said it wants to hold talks over the new wage agreement.

The new agreement includes wage increases of between 6 - 7 percent this year; a wage increase of 1 percent above inflation next year; additional employer and employee contributions to the retirement fund; and increases in housing subsidies for those not wanting to live in hostels.

The strike, the first among gold miners in nearly 20 years, began on Sunday, costing the South African industry an estimated $20.2 million a day in lost gold production.

More than 70 percent of South Africa's 130,000 gold miners joined the strike. They earn less than $490 a month and have been recently complaining that they have enjoyed little improvement in their working conditions since the end of apartheid.