Strikes could be a contributing factor to retrenchments in the mining industry, trade union Solidarity said on Thursday.
“Although not all strikes necessarily result in retrenchments, they definitely cause uncertainty in the industry,” spokesman Johan Kruger said in a statement.
At the moment, Solidarity was negotiating with various mining companies about proposed retrenchments.
The Witkop Fluorspar mine outside Zeerust in the North West planned to retrench 220 of its 225 employees before the end of the year.
“The company said that due to the current economic climate it was no longer profitable enough, and was therefore forced to close its doors,” said Kruger.
Mining contractor JIC Mining Services planned to retrench 281 employees at Hernic Ferrochrome, resulting from changes in a service agreement.
JIC also proposed to retrench 376 employees at International Ferro Metals because its contract with the company would not be renewed.
In May, Highveld Steel in eMalahleni indicated that almost 100 of its workers would be retrenched.
“Solidarity could, however, negotiate severance packages for its members,” said Kruger.
Coal of Africa initiated a retrenchment process at its Mooiplaats colliery, which could see about 20 of 368 employees retrenched.
Kruger said the temporary closure of ArcelorMittal in Vanderbijlpark would result in the loss of 140 posts.
“However, at this stage retrenchments are not on the cards, as employees are being redeployed within ArcelorMittal.” - Sapa