Minister issues warning on mine job cuts

07 November 2012 - 12:24
By Sapa

Mining Minister Susan Shabangu has warned mining houses not to retrench workers through “unilateral action”

“If any action needs to happen, all parties must be engaged. There must be the participation of all stakeholders,” Shabangu said on Tuesday, according to Business Day.

Speaking on the sidelines of the annual general meeting of the Chamber of Mines, she said: “There can’t be any unilateral action”. 

Lonmin has given unions notice that it intends cutting jobs in the wake of wildcat strikes, which began in August, and recent pay hikes at several mines.  

“We would like to avoid as much as possible any job losses in this sector,” Shabangu said.

She urged mining companies to come up with other options to prevent further unemployment.  

The mining industry accounts for almost 500,000 jobs and contributed 8.8% to the gross domestic product last year.