Wage Negotiations
Understanding the collective bargaining process that shapes the future of the road freight and logistics industry.
The Negotiation Process
NBCRFLI facilitates collective bargaining between employer organizations and trade unions to establish fair working conditions across the industry.
Parties Convene
Seven parties come together to begin negotiations
4 Month Process
Negotiations typically take about four months to complete
Agreement Reached
Final agreement is published in the Government Gazette
Industry Overview
The road freight and logistics industry that drives our economy
Frequently Asked Questions
Everything you need to know about industry wage negotiations and the collective bargaining process.
1How do industry wage negotiations come about?
A year prior to the expiry of a current agreement, parties to the National Bargaining Council for the Road Freight and Logistics Industry (NBCRFLI) come together to negotiate a new agreement. The current agreement expires in February 2027. Parties start by drawing up a Negotiation Protocol which seeks to guide parties on what they need to do and expect during the negotiation process.
Key Stakeholders
Workers and unions representing the industry workforce
2How do we get to a published agreement by the Minister of Labour?
There are seven parties to Council involved in the negotiation process, namely the Road Freight Association (RFA), the National Employers' Association of South Africa (NEASA), and Consolidated Employers Organisation (CEO) as well as four unions – the South African Transport and Allied Workers' Union (SATAWU), the Motor Transport Workers' Union (MTWU), Tirisano Transport and Services Workers Union (TASWU), and National Union of Metalwokers of South Africa (NUMSA).
Prior to negotiations, the parties to the Council develop their "wish lists" regarding the contents of the agreement and the conditions of employment it stipulates.
The Council administration staff then schedules meetings in terms of Council's constitution. The constitution states that there should be three rounds of negotiations held.
The Agreement is finally published in the Government Gazette and becomes law within the transport industry. The Agreement is also binding on non-parties, if extended by the Minister, so that everyone is covered within the industry.
3What is expected of both parties during the negotiation process?
Key Expectations:
- Work as partners for industry prosperity
- Drive decisions for NBCRFLI's future
- Deliver effective representation
- Reach settlements serving social justice
Process Goals:
- Combat conflict effectively
- Communicate meaningfully
- Build strong relationships
- Create a "model industry"
4Steps of the negotiation process
In terms of the Negotiations Protocol, the parties follow a structured process:
Council provides information requested in the Protocol
A facilitated workshop follows
Parties seek mandate from constituencies
Needs are exchanged between parties
Formal negotiations begin
Deadlocks handled by accredited commissioners
Section 64 of LRA invoked if needed
Positive Outcomes
Successful negotiations benefit all industry workers
5How do parties reach fair negotiation decisions?
The following needs are considered to ensure fair outcomes for all stakeholders:
Essential Needs
- • Economic and job stability
- • Profitable, competitive enterprise
- • Industrial peace
Employer Needs
- • Stable, efficient workplace
- • Competitive labour costs
- • Productivity improvements
- • Legislative compliance
Labour Needs
- • Workplace justice and protection
- • Employment security
- • Living wages
- • Recognition and growth
Duration
The negotiations typically take about four months, excluding submission to the Department of Labour.
Outcome
A signed agreement published in the Government Gazette and enforceable by the Council.
Industry Benefits
Creates certainty and stability by establishing clear expectations for all industry participants.
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