The National Union of Metalworkers of South Africa (Numsa) has concluded a three-year wage agreement in the tyre manufacturing sector, effective from July 31 this year to June 30, 2028.

In a media release, Numsa says it has negotiated across-the-board (ATB) wage increases for all hourly paid employees in Grades 1 to 7.

This includes a 5.5% increase effective July 1, a 5% increase effective July 1, 2026, and a 5% increase effective July 1, 2027.

The labour union says these increases will be applied yearly and are backdated to the effective start date of the agreement.

In addition to the ATB increases, Numsa says it has secured a commitment to move qualifying employees from the minimum to the maximum rate per grade over the three-year period.

This means that employees below the maximum rate will receive additional increases yearly to close the gap and, by June 30, 2028, all qualifying employees – employed before June 30 of this year – will be earning the maximum rate for their grade.

Meanwhile, Numsa notes that it also negotiated a contribution of 10c an hour from both employers and employees into a housing fund to support future housing needs.

This initiative will be managed in a tax-effective manner and elevated to the bargaining council for implementation, it says.

“This agreement reflects Numsa’s unwavering commitment to improving the lives of workers. We encourage all workers in the tyre sector who are not yet members to join Numsa and be part of a union that delivers.”