In terms of the agreement, which becomes effective from July 1, 2007, the wage increment for the first year will range from between 7.5% and 8.5% for the highest category workers to 10% for the lowest category workers. From July 2008, the increment will be calculated on an average CPIX plus 1%, subject to a minimum of 8% for most companies. This is in addition to other items on which the employers and the unions had agreed.

“I am sure that all of us gathered here are delighted that we have been able to reach this stage without disruptions to production in the mines,” said Eric Nwedo, the Chamber of Mines negotiator for coal mining companies. “The process has been very difficult and all of us worked very hard to reach a solution workable for both the coal mining industry and its employees. Neither the employers nor the workers got everything they wanted, but we have managed to get this far by compromising for the common good. I would therefore like to thank the employers and the unions for their part in this process because without their vision and foresight, we would not be here today. From now, all of us have to start the process of implementing the terms of this agreement.”