By James Macharia
JOHANNESBURG, Aug 22 (Reuters) - South Africa's miners' union said late on Saturday it was hopeful talks with the world's No. 2 platinum producer, Impala Platinum, to avert an indefinite strike planned for Monday would be successful.
The union and Impala Platinum (Implats) said they would pursue the talks -- being held at Implats' request -- late into the night to try and break the deadlock over wages.
South Africa produces four fifths of the world's platinum and the strike for better pay at Implats could push up prices of the precious metal used in catalytic converters to remove pollutants from car exhausts, and in jewellery.
Implats was served with a 48-hour strike notice by the National Union of Mineworkers (NUM), but the metal producer said it wanted further talks to try to avoid the industrial action, which is due to start on Monday.
Eddie Majadibodu, the head negotiator for the NUM said although no tangible progress had been made, he was hopeful of a resolution that would grant the union its demands.
'We are still negotiating. At this stage there is no progress, but I think there is still a chance we might agree,' he said. 'We are hopeful.'
The NUM has said it would call off the strike if the parties reached a wage settlement. The threat of strikes by the union has in some cases failed to materialise, after it has won pay increases from employers.
Implats spokesman Bob Gilmour said the talks would be long. 'These things can go on all night,' he said.
Implats and the NUM are trying to agree on a pay increase, as well as the duration of the new pay deal.
Above-inflation pay settlements after strikes in other sectors in South Africa, and threats of more stoppages have added to concerns of inflation pressures, although President Jacob Zuma has said the union action was nothing more than part of the normal pay negotiating process.
A strike could hit output from Implats mines in South Africa, and hurt investor sentiment in a sector already hard hit by the financial crisis.
In 2008 Implats produced about 22 percent of all platinum mined in South Africa.
Platinum firmed to $1,250.00 an ounce from $1,236.50 an ounce on Friday, partly pushed by concerns over the impending strike. The white metal had also risen after the union told Reuters late on Wednesday of its plans to strike.
Another round of wage talks between the NUM and Anglo American Plc's unit Anglo Platinum, the world's biggest platinum producer, are due to be held next week. There has been no specific threat of a strike from the union there.
(Additional reporting by Ed Cropley) (For more Reuters Africa coverage and to have your say on the top issues, visit: http://af.reuters.com/) Keywords: SAFRICA STRIKE/ (james.macharia@thomsonreuters.com; +27117753158; Reuters Messaging:james.macharia.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
JOHANNESBURG, Aug 22 (Reuters) - South Africa's miners' union said late on Saturday it was hopeful talks with the world's No. 2 platinum producer, Impala Platinum, to avert an indefinite strike planned for Monday would be successful.
The union and Impala Platinum (Implats) said they would pursue the talks -- being held at Implats' request -- late into the night to try and break the deadlock over wages.
South Africa produces four fifths of the world's platinum and the strike for better pay at Implats could push up prices of the precious metal used in catalytic converters to remove pollutants from car exhausts, and in jewellery.
Implats was served with a 48-hour strike notice by the National Union of Mineworkers (NUM), but the metal producer said it wanted further talks to try to avoid the industrial action, which is due to start on Monday.
Eddie Majadibodu, the head negotiator for the NUM said although no tangible progress had been made, he was hopeful of a resolution that would grant the union its demands.
'We are still negotiating. At this stage there is no progress, but I think there is still a chance we might agree,' he said. 'We are hopeful.'
The NUM has said it would call off the strike if the parties reached a wage settlement. The threat of strikes by the union has in some cases failed to materialise, after it has won pay increases from employers.
Implats spokesman Bob Gilmour said the talks would be long. 'These things can go on all night,' he said.
Implats and the NUM are trying to agree on a pay increase, as well as the duration of the new pay deal.
Above-inflation pay settlements after strikes in other sectors in South Africa, and threats of more stoppages have added to concerns of inflation pressures, although President Jacob Zuma has said the union action was nothing more than part of the normal pay negotiating process.
A strike could hit output from Implats mines in South Africa, and hurt investor sentiment in a sector already hard hit by the financial crisis.
In 2008 Implats produced about 22 percent of all platinum mined in South Africa.
Platinum firmed to $1,250.00 an ounce from $1,236.50 an ounce on Friday, partly pushed by concerns over the impending strike. The white metal had also risen after the union told Reuters late on Wednesday of its plans to strike.
Another round of wage talks between the NUM and Anglo American Plc's unit Anglo Platinum, the world's biggest platinum producer, are due to be held next week. There has been no specific threat of a strike from the union there.
(Additional reporting by Ed Cropley) (For more Reuters Africa coverage and to have your say on the top issues, visit: http://af.reuters.com/) Keywords: SAFRICA STRIKE/ (james.macharia@thomsonreuters.com; +27117753158; Reuters Messaging:james.macharia.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.