THE two Cosatu unions at loggerheads over wages in a company have begun talks.

The South African Municipal Workers Union is on strike at Syntell, a company owned indirectly by Southern African Clothing and Textile Workers' Union through its investment company, Sactwu Investment Holdings.

Workers at Syntell, which has contracts with many municipalities across the country to manage their traffic fines, went on strike 10 days ago after Syntell refused to negotiate wages and imposed a 5percent increase.

Sactwu has tried to distance itself from allegations that its company disrespects workers' rights, saying it was only an indirect minority shareholder in Syntell.

This because Sactwu Investment Holdings owns just over 40percent of Hoskins Consolidated Investment (HCI) Limited, which owns 55percent of Syntell.

The investment is the biggest single shareholder in HCI. Two of HCI's executive directors are former trade unionists turned millionaires Marcel Golding and Johnny Copelyn, Sactwu's former general secretary, who also owns 7percent of HCI shares.