British multinational, Coats Patons, has decided to close its two Randfontein factories, lay off all the workers, and then reopen in Bophuthatswana where it can expect to pay its new employees a quarter of the wages.
Since the stoppage at Huletts Aluminium over the pensions issue last year, relations between FOSATU unions and several companies in the Maritzburg area have reached a new low.
The giant Dorbyl group, which has been hit by a number of strikes over retrenchment, has backed down on its refusal to negotiate severance pay at factory-level.