DRDGOLD concludes wage negotiations at Ergo operations
Wage negotiations at Johannesburg- and New York-listed DRDGOLD’s Ergo Mining operations have been finalised, following the conclusion of a single wage agreement with organised labour, the company confirms in a statement.
The agreement, signed by the National Union of Mineworkers, the majority union in the bargaining unit, applies to all employees regardless of union affiliation.
The agreement provides for guaranteed yearly wage increases of between 6% and 7.5% and 7.5% over five years. The company highlights that this is above current inflation and aligned with recent agreements concluded in the gold sector.
It also entails a new 2% performance-based incentive linked to safety, production and attendance.
It also includes improvements to the living-out allowance and the interest-free housing support scheme; backpay from July 1, 2025, payable in terms of the agreement; and a R5 000 one-off ex-gratia payment to all employees in the bargaining unit.
“This agreement brings much-needed certainty for our employees and for the Ergo operations. It reflects constructive engagement by all parties and balances meaningful improvements in employee remuneration with the long-term sustainability of the business.
“Importantly, it allows us to move forward together, focused on safe, stable operations and continued value creation,” says CEO Niël Pretorius.
