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South Africa fuel strike enters second week, some shortages reported

Fri, 05th Aug 2016 15:28

CAPE TOWN, Aug 5 (Reuters) - A wage strike by around 15,000workers in the petrochemical industry that has led to someshortages will enter its second week on Monday after employersand union leaders failed to break an impasse threatening fuelsupplies, officials said on Friday.

Workers belonging to the Chemical, Energy, Paper, Printing,Wood and Allied Workers union (CEPPWAWU) began the strike lastThursday, demanding a 9 percent wage hike for 2016, whileemployers were offering less due to poor domestic growth andsubdued global oil prices.

"Offers made by employers did not yield any benefit so thereis no agreement at all. The strike will definitely continue,"said Clement Chitja, head of collective bargaining at CEPPWAWU,following a meeting with employers.

There were no further meetings scheduled, industry and unionofficials said.

Refineries, including those operated by Shell, BP, Chevron and Sasol, have maintainedoutput although there were disruptions to deliveries as millionsvoted on Wednesday, industry body SAPIA said.

The South African Petroleum Industry Association (SAPIA)said on its official Twitter account on Friday thatreplenishment of services stations were "progressing well".

South Africa is a net importer of refined petroleum productsand any supply disruptions will hurt an economy on the brink ofa recession and growth is expected to stagnate this year. (Reporting by Wendell Roelf; Editing by James Macharia)

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