In a major victory for industrial peace and long-term stability in South Africa’s plastics sector, the Plastic Convertors Association of South Africa (PCASA) has successfully concluded a groundbreaking wage and employment collective agreement with all major trade unions.
The agreement, signed on Friday, 6 June 2025, with NUMSA, Solidarity, NUM, UASA, MEWUSA, and SAEWA, ushers in a new era for the plastics industry. The agreement, covering wages and employment conditions from 1 July 2025 through to 30 June 2028, delivers certainty, unity and strategic clarity for all stakeholders across the industry.
The road to this moment was not without challenges-six rounds of intense negotiations began in April and culminated in Friday’s landmark signing. The PCASA negotiating team stood firm, ensuring that the outcome delivers clear and lasting benefits to member companies.
Key victories for industry stakeholders
- Three Years of Guaranteed Stability: The PCASA secured a full three-year deal, providing a clear roadmap for wages and employment conditions through mid-2028. This unprecedented agreement ensures industrial harmony, empowering companies to plan with confidence and resilience.
- Crystal-Clear Wage Framework: The wage increases are fixed with specific rand and cents amounts based on scheduled rates. This removes ambiguity and eliminates the risk of renewed disputes or strike action over wages during the term of the agreement.
- Defending Core Principles: Under significant pressure from unions, the PCASA succeeded in defending a foundational principle: all wage increases will be based strictly on scheduled rates, protecting consistency and fairness in remuneration practices across the sector.
- Commitment to Industry-Wide Implementation: In a united front, all signatories have pledged to pursue the extension and gazettal of the agreement, aiming to ensure that every employer and employee in the industry, whether party to the agreement or not, can benefit from its provisions.
The PCASA views this outcome as a major strategic triumph for its members and the broader plastics sector. It represents a forward-looking agreement that balances worker welfare with business sustainability and sectoral growth.
Companies facing challenges in implementing wage increases or leave enhancement pay are encouraged to contact the PCASA for tailored guidance and support – natalie@pcasa.co.za
By Natalie Van Vreden, Chief Executive Officer, PCASA
