Impala Platinum Reaches Two-Year Deal with South African Miners Union

Impala Platinum , the world's second-largest producer of the precious metal, said on Monday it has reached a two-year wage deal with South Africa's National Union of Mineworkers (NUM), averting a possible a strike at the miner.

Implats said the agreement was for increases of between 8.5 to 10 percent for the first year, and 8 and 10 percent for the second year, depending on worker category.

The company said the deal also applied to its operating subsidiaries Impala Platinum and Marula Platinum.

NUM had asked for 14 percent increases across the board.

The agreement is in line with wage settlements in South Africa's mining industries, including gold and coal, which have largely been in the 8 to 10 percent range this year, or close to double the inflation rate.

Implats produces about 1.8 million ounces of platinum a year or over a quarter of the global supply and so markets keenly monitor any disruption to its operations.

NUM is still engaged in wage talks with Northam Platinum.

Implats' bigger rival Anglo American Platinum made a similar settlement with the union last month.