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Sasol, union say strike talks stalled

Mon 22 Oct 2007, 10:50 GMT
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(Adds comments from Sasol, more details)

By James Macharia

JOHANNESBURG, Oct 22 (Reuters) - Talks have stalled to end a pay strike at coal mines owned by South Africa's Sasol <SOLJ.J>, the world's biggest maker of fuel from coal, the company and the workers' union said on Monday.

Sasol said the strike at its Sasol Mining unit, in its ninth day, has not affected output at its 150,000 barrels per day coal-to-liquids refinery at Secunda.

Sasol supplies around 35 percent of motor and industrial fuels in Africa's biggest economy, and its five coal mines at Secunda to the north of the country produce about 40 million tonnes of coal a year.

"There is no continuation of negotiations today," said Robert Lepheana, regional head of the United People's Union of South Africa (UPUSA) in Mpumalanga province.

"The company said they want us to accept their offer and we're not interested in that one, so unless they come up with a better offer there are no talks," Lepheana, told Reuters.

Lepheana and Sasol spokeswoman Marina Bidoli said the company was in general discussion with UPUSA and held a routine meeting with its leaders on Monday, but it was not about wages.

"After three months of discussions with the trade union, we can state officially that we have made our final wage settlement offer to UPUSA. This is our final offer on the table," she said.

"We can confirm that we are using our stockpiles, which will still last for a significant length of time," Bidoli said.

Lepheana said more than 3,500 workers had downed tools so far, but Bidoli put the figure at less than 2,000, or a third of the workers who were on strike last week.

Lepheana said his members' pay at Sasol compared poorly with earnings for workers represented by the Chemical, Energy, Paper, Printing, Wood and Allied Workers Union (CEPPWAWU) union.

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