The National Union of Metalworkers of South Africa (Numsa) said on Friday that it had received a notice from ArcelorMittal about a restructuring exercise which may result in retrenchments.
ArcelorMittal South Africa said last Wednesday that it was mulling a large-scale restructuring exercise which might affect more than 2000 jobs, citing a difficult domestic economic environment.
Numsa said the notice stated that ArcelorMittal employed 8769 employees and that it was difficult to estimate the exact number of those who may eventually be affected by the proposed restructuring, as this was subject to the outcome of a consultation process and the consideration of alternative measures.
The union said the earlier public statement made clear the company had “already gone ahead of the consultation process and made a determination of the number of workers who will be affected” by hinting at 2000 job losses.
“This is another example of the flagrant disregard which the management (of ArcelorMittal) has for workers and their right to due process,” Numsa said in a statement.
It said the company had also taken a decision to review some tenders issued to contractors, resulting in those contractor employers serving the union with section 189 notices, which permit employers to dismiss workers for operational requirements. “This obviously means that more than the number anticipated will lose their jobs,” Numsa said.