Modikwa strike to go on - NUM

STALEMATE: Miners walk about during a visit by members of the parliamentry portfolio committee to Modikwa Platinum Mine yesterday. photo: ELIJAR MUSHIANA
STALEMATE: Miners walk about during a visit by members of the parliamentry portfolio committee to Modikwa Platinum Mine yesterday. photo: ELIJAR MUSHIANA

THE strike by more than 3,000 miners at Modikwa Platinum Mine in Limpopo will today enter its seventh day and has cost the company more than R56-million.

Workers at the Burgersfort mine downed tools over 36 demands, which include a pay increase, transport subsidies and ownership of shares in the company.

The workers are members of the National Union of Mineworkers (NUM).

The strike started last Thursday and is costing Modikwa R8-million a day, according to chief executive officer Steve Mashalane.

"We are losing millions of rands a day and we are working very hard to resolve the stalemate," said Mashalane.

He said only 19 of the demands had so far been resolved. The parties had failed to resolve the other demands at the Commission for Conciliation, Mediation and Arbitration on March 9.

Among some of the issues that had not been resolved were a demand for a 12% salary increase and that the drilling allowance be increased to R500 this year and R750 next year.

On the 12% salary increase, Mashalane said: "Our concern is that if we were to give workers the 12% increase they are demanding, we would have to lay off more than 1000 workers."

He said the mine was offering a 9.8% increase.

The mine is only prepared to increase the drilling allowance to R450 this year and R600 next year, Mashalane said.

Equalisation of bonuses for all is another demand that the parties failed to resolve.

Workers also demanded the disbandment of Modikwa as a joint venture but had subsequently withdrawn this demand. The mine is co-owned by Patrice Motsepe's African Rainbow Minerals and Anglo Platinum.

The operation comprises an underground mine, about 450 metres deep, consisting of three decline shafts and a concentrator.

ARM Mining Consortium holds 50%, with a 17% stake in ARM Mining Consortium being held by two Section 21 companies representing communities around Modikwa. ARM has an effective 41.5% economic stake.

NUM's Lesiba Seshoka said the strike would continue until all demands were met.

"As things stand, it does not look like the strike will end any time soon because Modikwa management is stubborn," said Seshoka.

Would you like to comment on this article?
Register (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.