Johannesburg - The National African Federated Chamber of Commerce and Industry (Nafcoc) on Monday blamed a lack of long-term strategic leadership for the rising number of job losses in the mining industry.
Nafcoc chief economist Landiwe Mahlangu in a statement said although mining job losses may be attributed partly to unfavourable commodity prices, investors and other stakeholders were also influenced by a lack of long-term vision on the part of industry leaders.
“The challenges faced by the mining industry call for a more holistic approach which will deliver sustainable solutions and a lasting effect,” Mahlangu said.
“As Nafcoc we believe that mineral beneficiation and other value adding downstream processing must be accelerated and expanded.”
Mahlangu also delivered oral evidence and a written submission to the Minerals and Petroleum Board at a hearing on Friday last week that was convened to investigate job losses in the sector.
He told the hearing that several contradictory factors were at play, and that this called for a more nuanced approach in tackling the problems and for a careful look at why some mining houses were closing while others were doing well.
This comes as one of South Africa’s biggest producers of the yellow metal, Sibanye Gold, on Monday announced a consultation process over possible retrenchments at its Cooke 4 underground mine and Ezulwini Gold and Uranium processing plant which might affect 1 700 workers.
Mahlangu said social labour plans (SLP) must be reviewed and strengthened to properly serve the purpose for which they were established.
He said that SLPs needed to be aligned with the development plans and framework of local municipalities and traditional authorities to ensure a more effective contribution.
At the hearing, Nafcoc also endorsed the Mining Charter as an instrument to transform the mining sector.
Nafcoc President Lawrence Mvundla said they believed that mineral beneficiation and other value adding downstream processing must be accelerated and expanded.
“We also endorse the Mining Charter as an instrument to transform the mining sector. Transformation plans must address the entire mining value chain, with a specific bias towards junior miners,” Mvundla said.
African News Agency