HOPES for an end to the crippling Transnet strike were dashed yesterday after negotiations broke down at the Commission for Conciliation, Mediation and Arbitration.
Economists said the strike, which has so far brought the transportation of goods to a halt, will cost the economy billions.
Transnet reiterated it would not move beyond the 11percent increase it was offering despite labour's preparedness to lower their demand to 13percent from 15 at the mediation.
"The company has made a fair and generous offer of 11percent increase on all pensionable earnings.
"The offer, which also provides for above inflation increases in a range of allowances and benefits, is within the limits of affordability and reasonableness," Transnet said.
ANC spokesperson Ishmael Mnisi said the national executive committee was concerned about the strike and its implications, especially on the World Cup. "We call on all parties to resolve this as speedily as possible."