Strikes could soon paralyze car manufacturers in South Africa if an agreement is not reached with the trade union Numsa soon.
The first round of talks failed, and a second attempt was envisaged, but the demands made by the union left a red light for the future of the industry.
The first round of talks in Port Elisabeth ended in stalemate after the Numsa negotiators demanded a 20% increase.
A next round of negotiations will be held in Pretoria, and the warning has already been heard that another failed round of negotiations will mean a strike that will affect all manufacturers.
The National Union of Metalworkers of SA (Numsa) represents the bulk of workers in the industry, and the Automobile Manufacturers Employers Organization (AMEO) is poised to start a second round next week.
Experts have warned that unreasonable demands by unions could lead to the withdrawal of manufacturers from South Africa, and could move to countries where s