Data provided by McGregor BFA
All data is delayed
Loading...
See More

Controversy over closure of Harmony mine

Jan 09 2013 18:30 Sapa
Mining

(File) (Shutterstock)

Related Articles

Harmony may shutdown troubled mine

Harmony to brief on troubled mine

Harmony delays reopening of Kusasalethu

Harmony delays mine operations

Sit-in ends at Harmony mine

Harmony miners denied access to hostels

 

Johannesburg - Workers at Harmony Gold Mining Company's [JSE:HAR] Kusasalethu mine were not formally told about the closure of the operation, a worker's representative said on Wednesday.

"According to law, a person must get a notice in a period of 30 days to leave the area if they must leave, and that did not happen here," Paul Motaung claimed.

"They [have] now closed everything, even the water. We can't drink water."

Police and security guards prevented more than 500 mineworkers from returning to the mine's hostels on Tuesday night, he said. Around 50 people were outside the hostels, in Carletonville, on Wednesday.

The company said it had suspended operations at Kusasalethu and was deciding whether to permanently close the mine, which could cost about 6000 workers their jobs.

It cited concerns about unprotected strikes and illegal industrial action, violence, sit-ins, and vandalism of mine property. In the past quarter there had been five sit-ins at the mine.

Business Day reported that the mine was expected to report a cash operating loss of R150m for the December quarter, and a negative cash flow of R252m.

"Until such time as the unions and Harmony have consulted and agreed on a long-term solution to operate the mine safely and profitably, we cannot give an indication as to when the mine will re-open," company spokesperson Marian van der Walt said in a statement.

Motaung said the miners were camping outside the hostels because they wanted to talk to management.

"We will camp here until that further notice.... We want to sit [around] the table with management and tell them what we want and they must tell us what they want and not want."

The workers outside the hostels wanted to work and accepted management's reasons for closing the mine.

"If they are dissatisfied with the production, let's discuss what causes that."

On Tuesday, Harmony spokesperson Henrika Basterfield said there should be no one at the mine because it was closed.

"All I can say is the mine is closed. Only about a 100 people came to the mine two days ago. Transport was arranged for them to go back home."

She said that of the 100, only seven had produced employee numbers on request and were given transport home. The others refused to show their numbers and were not helped.

Basterfield said workers were told on December 21 and 31 that the mine would be closed.

"Only that little group came after people were notified about the closure."



Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.

harmony gold  |  mines
NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
9 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're Talking About: Small Business

Standard Bank is looking for 12 entrepreneurs to participate in a 10-part TV series. They could win a R1m investment into their dream.
 
 

ANC set for two-thirds majority - poll

The ANC is on course to win nearly a two-thirds majority in 7 May elections, a poll has showed, confounding analysts who had predicted a fall in support for the ruling party.

 
 

Latest elections multimedia

Why Jack Parow wants you to vote on 7 May
The ad the SABC doesn't want to air
Elections 2014 in one cartoon
This year's election posters

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...
Loading...