News / Africa
'BMW would never be allowed to hold Zimbabwe to ransom'
09 Oct 2013 at 03:33hrs | Views
JOHANNESBURG - The National Union of Metalworkers of South Africa (Numsa) on Sunday called off its strike in the vehicle parts sector, accusing German car giant BMW of "blackmail" and saying: "In China and Zimbabwe they would never be allowed to hold the country to ransom."
Numsa said it would "refuse to be blackmailed by BMW, the National Association of Automobile Manufacturers of South Africa or any other neoliberal analyst/economists for our right to strike".
"Chief executive officers of car manufacturers showed no leadership whatsoever during the auto and motor industry strikes," it said.
"The likes of BMW must remember that it is taxpayers' money that subsidises the profit they so generously make in South Africa."
However, Efficient group chief economist Dawie Roodt said South Africa could not be compared as an investment destination to China or Zimbabwe.
"Zimbabwe is a totally different example. Profit margins are larger because of risks. You can't compare South Africa to Zimbabwe or China. The Chinese are much more productive than we are. Hypothetically, if you wanted to compare South Africa to Zimbabwe, then we have to at least halve wages to get the same profit margins."
Numsa Western Cape secretary Karl Cloete rejected what he called "blackmail" by BMW.
"They (BMW) receive taxpayers' money in the form of a subsidy, which is an incentive scheme to attract car manufacturers to our country. If they go to China, the Chinese Communist Party takes 51% in that company. If they go next door to Zimbabwe, Uncle Bob will take 51% on the indigenisation programme," he said.
Jim said the strike had been "difficult" for the union as employers had refused to accede to its demands for a ban on labour brokers and for "equal pay for work of equal value".
Numsa said it would "refuse to be blackmailed by BMW, the National Association of Automobile Manufacturers of South Africa or any other neoliberal analyst/economists for our right to strike".
"Chief executive officers of car manufacturers showed no leadership whatsoever during the auto and motor industry strikes," it said.
"The likes of BMW must remember that it is taxpayers' money that subsidises the profit they so generously make in South Africa."
"Zimbabwe is a totally different example. Profit margins are larger because of risks. You can't compare South Africa to Zimbabwe or China. The Chinese are much more productive than we are. Hypothetically, if you wanted to compare South Africa to Zimbabwe, then we have to at least halve wages to get the same profit margins."
Numsa Western Cape secretary Karl Cloete rejected what he called "blackmail" by BMW.
"They (BMW) receive taxpayers' money in the form of a subsidy, which is an incentive scheme to attract car manufacturers to our country. If they go to China, the Chinese Communist Party takes 51% in that company. If they go next door to Zimbabwe, Uncle Bob will take 51% on the indigenisation programme," he said.
Jim said the strike had been "difficult" for the union as employers had refused to accede to its demands for a ban on labour brokers and for "equal pay for work of equal value".
Source - businessday
