DRDGOLD (NYSE: DRD) says Ergo strike suspended while wage talks continue
Rhea-AI Filing Summary
DRDGOLD Limited reports that a planned protected strike at its Ergo Mining operations has been suspended by the National Union of Mineworkers and the Association of Mineworkers and Construction Union. The strike had been scheduled to start with the morning shift on 18 December 2025, but operations at Ergo are continuing uninterrupted.
The wage and profit-share dispute with these unions remains unresolved. DRDGOLD states that its wage offer, which the United Association of South Africa accepted on 12 December 2025, is above current inflation, aligned with recent wage agreements in the gold sector and designed to preserve the long-term sustainability of the Ergo operations. The company indicates it remains open to further engagement to avoid financial harm to employees and disruption to operations.
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Insights
Planned Ergo strike is suspended, but DRDGOLD’s wage dispute with key unions remains unresolved.
DRDGOLD explains that a protected strike at its Ergo Mining operations, planned by the National Union of Mineworkers and the Association of Mineworkers and Construction Union, has been suspended. The strike was due to start with the morning shift on 18 December 2025, and the company notes that Ergo operations currently continue without interruption, limiting immediate operational impact.
The core issue, a dispute over wages and profit share, is still open with these unions. DRDGOLD highlights that its wage offer, accepted by the United Association of South Africa on 12 December 2025, is above current inflation, in line with recent gold-sector wage agreements and aimed at supporting the long-term sustainability of Ergo. The balance between maintaining uninterrupted production and reaching a settlement acceptable to all unions will depend on how the ongoing engagement progresses.
FAQ
What did DRDGOLD (DRD) announce about the planned strike at its Ergo operations?
DRDGOLD announced that a planned protected strike at its Ergo Mining operations, initiated by the National Union of Mineworkers and the Association of Mineworkers and Construction Union, has been suspended. The company states that Ergo operations are continuing uninterrupted as at the date of the announcement.
Which unions were involved in the planned strike at DRDGOLD’s Ergo operations?
The planned strike at Ergo involved members of the National Union of Mineworkers (NUM) and the Association of Mineworkers and Construction Union (AMCU). DRDGOLD notes that the United Association of South Africa (UASA) had already accepted and signed the wage agreement on behalf of its members on 12 December 2025.
Is the wage and profit-share dispute at DRDGOLD resolved?
No. DRDGOLD states that the dispute relating to wages and profit share remains unresolved with NUM and AMCU. However, the company confirms that UASA accepted the wage agreement on 12 December 2025, so the dispute continues only with the remaining unions.
What key features does DRDGOLD highlight about its wage offer?
DRDGOLD describes its wage offer as fair, competitive and sustainable. The company says the offer delivers meaningful improvements to employee remuneration, is well above current inflation, is aligned with recent wage agreements in the gold sector, and supports its ability to reinvest in the long-term sustainability of the Ergo operations.
Are DRDGOLD’s Ergo operations currently affected by the labor dispute?
According to DRDGOLD, as at the date of the announcement, operations at Ergo continue uninterrupted. Although the wage and profit-share dispute with certain unions is ongoing, the suspension of the planned strike means there is no immediate disruption to Ergo’s activities.
When was the strike at DRDGOLD’s Ergo operations originally scheduled to begin?
NUM and AMCU had given DRDGOLD 48 hours’ notice of their intention to start protected strike action from Thursday, 18 December 2025 at Ergo. The company notes that the strike had been scheduled to start with the morning shift on that date before being suspended.