Materials & Equipment News South Africa

Wage increases for Western Cape building industry

The Building Industry Bargaining Council (BIBC Cape of Good Hope) has announced wage increases ranging between 7.5% and 12% for the building industry, applicable from 1 November 2015.
Wage increases for Western Cape building industry
© Allan Swart – 123RF.com

The parties concluded a three year wage agreement in 2013 and the current agreement will expire at the end of October 2016. The increases depend on the category of employment and the area of operation. The higher increases are due to the council's commitment to wage parity between all the areas within its scope.

Employers and employees in the Cape Peninsula, Boland, Malmesbury and Overstrand areas are represented by the Master Builders' and Allied Trades Association Western Cape; Boland Master Builders' and Allied Trades Association; Building Workers' Union; Building, Wood and Allied Workers' Union of South Africa; National Union of Mineworkers and the Building Construction and Allied Workers' Union.

Stability in industry

The Bargaining Council will now apply to have the increases, as well as other negotiated changes to the agreement, extended to non-parties by the Minister of Labour.

The collective agreement is aimed at ensuring stability in the building industry and governs the industry as a whole. It covers the critical elements of minimum wages and benefits, clauses that have wide-ranging effects on the industry as a whole.

The benefit of collective bargaining is that the industry can avoid wage strikes, an advantage that the industry can justifiably be proud of. "There have not been industry wide strikes within the jurisdiction of the BIBC for more than 20 years," said Ronel Sheehan, secretary for the BIBC.

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