Utatu Signs Revised Wage Agreement – Bringing Prasa Strike to an End

21 May 2010

The Passenger Rail Agency of South Africa (PRASA) is pleased to announce that the United Transport and Allied Trade Union (UTATU), has accepted the revised wage offer made by PRASA, and signed the wage agreement on Thursday 20^th May.

This means the majority of PRASA Employees (UTATU members and Non Unionized Employees) have now accepted the new wage offer. SATAWU did not sign the Wage Agreement, and has been given time to consult further with its members over the next few days. PRASA urges SATAWU to sign the wage agreement soon in order to have a full train service on Monday 24^th May.

Employees will return to work on Friday 21^st May. The signing of the agreement by UTATU effectively brings this unfortunate strike which inconvenienced our loyal customers to end.

PRASA wishes to thank its loyal customers for the patience and understanding they showed during the strike, enduring long queues while waiting for alternative transport, and being late at their places of work. For this inconvenience PRASA offers a sincere apology.

The key features of the wage agreement are:

1. A 10% across the board (ATB) wage increase on pensionable salaries backdated to 1 April 2010, for PRASA junior employees employed in its Corporate Office and its Rail Division comprising of Metrorail and Shosholoza Meyl.
2. PRASA will introduce a Rotational Shift System (Three Shift System) in its rail operations environment on the 1^st of July 2010, in order to ensure increased operating hours and improved services to the commuting public. The proposed rotational shift system will cover the following operational grades :
   • Technical Maintenance Employees in (Rolling Stock, Maintenance, Signal, Per way and Electrical);
   • Train Operations (Metro Train Drivers, Guards, Train Control Officers, Yard Operations)
   • Customer Service;
   • Protection and Related Services.
3. The parties agree to conclude the Conditions of Service negotiations by the 30^th of June 2010 and to implement the new conditions on the 1^st of August 2010.
4. The parties agree that on implementation of the Conditions of Service, allowances which include the following shall cease to exist, namely:
   • Standby Allowance;
   • Track Tool Technical Allowance;
   • Inconvenience Allowance;
5. All female employees within PRASA shall from 1^st July 2010 be entitled to four (4) months maternity leave at full pay.

The agreement is a victory for the commuters in that it will allow PRASA to extend its operations to 24hrs, resulting in improved service. Through the new Rotational Shift System, critical maintenance work on both rolling stock and infrastructure will be undertaken outside peak hours, at night and over weekends, thereby limiting incidents of trains failing in the system.