The settlement was negotiated under the auspices of the National Bargaining Council for the Leather Manufacturing Industry of South Africa.
A 7.5% wage increase was agreed to, with the Association of South African Manufacturers of Luggage, Handbags & General Goods, which is the organization representing employers in the sector. The wage increase comes into effect nationally on 1 July 2012 and is effective for a one year period.
It covers 83 factories in the sector, employing approximately 2000 workers.
Southern African Clothing & Textile Workers' Union (SACTWU)
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