JOHANNESBURG - Mining company Gold Fields said on Friday that its production guidance for the year will decline significantly, down to 4 800kg or 154 600 ounces, as a result of ongoing challenges, as well as the strike and go-slow at its South Deep operations.
Gold Fields, one of the world's largest gold mining firms, has started a retrenchment process that will affect 1 102 permanent employees and 460 contractors following restructuring at South Deep operations.
South Deep employed 3 614 full-time employees and 2 214 contractors prior to the retrenchment process.
The company proposed to suspend mining activities in loss making areas of the mine in August and reduce operational and support staff commensurately, as well as suspend development activities in the New Mine area.
As a result of retrenchments, the National Union of Mineworkers (NUM) has embarked on protected industrial action at the mine even though the 'no-work, no-pay' principle will apply.