AMEO yields to Numsa’s demands


This past Friday (14 October), the National Union of Metalworkers of South Africa (NUMSA) signed an above-inflation wage agreement with the Automobile Manufacturers Employers Organisation (AMEO) that will see workers in the automotive industry receive an 8.5% increase.

LFP 1069

AMEO represents motor manufacturers such as Mercedes Benz, BMW, Nissan, Toyota and Volkswagen, while NUMSA is the country’s biggest union with over 400 000 members.

According to the deal that was signed at the National Bargaining Forum, the workers will receive the 8.5% increase in the first year followed by a 7% increase in both the second and third year of the three-year deal, which will be valid until 30 June 2025.

In addition, each employee will also receive a taxable one-off gratuity payment of R10 000.

The union said that workers could expect back pay from July to September at the end of this month.

In August, NUMSA rejected AMEO’s offer of a 6.2% increase in year one, followed by an increase of 5.6% in year two and 4.7% in year three.

In the statement NUMSA released to announce the agreement, they said that it was “significant that we have maintained the standard for the sake of workers and their families, when other unions are encouraging members to sign agreements and settle with (sic) 3%”.

More Industry News stories

Legal setback for Phelan as MB patent case collapses

Legal setback for Phelan as MB patent case collapses

Mercedes-Benz has successfully fended off a high-profile patent infringement claim, after a US court dismissed allegations brought by The Phelan Group with prejudice, ending a dispute that had lingered for months.

  • 8 December 2025
Volkswagen commits R3.4 trillion to future investments

Volkswagen commits R3.4 trillion to future investments

Volkswagen Group has unveiled plans to allocate R3.4 trillion to investments by 2030, signalling a more cautious approach as Europe’s largest carmaker contends with mounting challenges in China and the United States.

  • 9 December 2025