Lonmin has removed the threat of any immediate industrial action at its South African mines after agreeing a two-year wage deal with workers.

South Africa's National Union of Mineworkers (NUM) said it has reached a deal with the world's third-largest platinum miner covering its Marikana operations that will see employees receive inflation-busting pay hikes of up to ten per cent.

"Members of the National Union of Mineworkers overwhelmingly voted in favour of the offer and the union signed on the dotted lines this afternoon," the NUM said.

The union had previously warned that strike action could follow if an agreement could not be reached, threatening to disrupt Lonmin's full-year production target of 750,000 platinum group metal ounces.

Anglo American Platinum and Impala Platinum have also reached pay deals with the NUM that are worth around ten per cent to workers.

Sources:

UPDATE 1-S.Africa union, Lonmin seal wage deal (02/12/11)

UPDATE 1-Lonmin to raise workers pay by up to 10 pct (05/12/11)

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