Fin24

Mining companies urged to share riches

2012-08-21 22:22

Cape Town - The mineral resources minister on Tuesday said mining firms must do more to share mineral riches, saying the deadly Lonmin shooting was a chance to flush out bad practices still dogging the industry.

"It surely cannot be correct that mining communities such as those of Marikana and other mining areas should see prosperity and conspicuous consumption by companies and mine bosses whilst they continue to experience poverty," said Susan Shabangu.

"The mines must redouble efforts in the cause of good social and labour programmes to ensure that this happens."

Shabangu called for the industry to take the initiative to improve conditions in mines and communities.

"If they are unhappy, the industry is equally so," she told a special parliamentary debate on the tragedy at the Lonmin mine where police gunned down 34 strikers last week in a crackdown on miners protesting for higher wages.

"So, if we can all really work together, in a spirit of collaboration and fairness with minimum recrimination, we can use this tragedy to undo many of the wrong practices that still mark the mining sector," Shabangu said.

Comments
  • bennie.kruger.5 - 2012-08-21 23:10

    If mines make losses will employees help carry the burdon? or are these poor brats only in on the upside?

      TshilidziPhuravhathu - 2012-08-22 08:47

      Mines wont get to the upside wothout the poor brats...

      bob.mcmillen.564 - 2012-08-22 12:28

      bennie, well said, I said exactly the same thing last evening, it's fine to give increases when the price of Gold or Coal or whatever they are mining is good but what happens when demand drops or the price falls, would they take a drop in salary ? not a chance.

      maureen.churchill.9 - 2012-08-24 09:33

      This has become a nation of give me, give me, give me. Eventually the mining companies are going to say 'tata zonkie, mina humba kia, mina dinuele na lo bumba zonkies'

  • piet.boerie - 2012-08-22 05:37

    Its government policy that dictates the exchange between us, our resource and the business that pays royalties. The governement is shiffting blame to business. Business does not write policy the Governement does but they do try influence or bribe. Dont let the Allaince fool you into believing it is not in their control. It is they are just corrupt and to busy enriching themsleves. At a point the poor need to take responsibility for their situation as their party does have their intrests at stake. In fact all South Africans, rich and poor, should make sure we have a good return for the fintie resources we give away to cheaply. Once the gold is gone it is gone and will we be left with a Niger Delta? Poor people living next to oil wells. The other point is that the government shot the workers and not business unless as implied recently that it was a setup and the miners were actually ambushed. I could believe this considering how many ANC members have been killed by each other for access to government tenders. "A key function of government has been to develop, allocate and regulate the use and restoration of natural resources, but our current policies have resulted in enormous subsidies and nearly no net benefit for the public."

  • gungets.tuft - 2012-08-22 06:20

    Does that include the percentage held by Shanduka which is owned by Cyril Ramaphosa?

  • stephen.redford.16 - 2012-08-22 06:48

    Sigh, why does government think that capitalist companies should be socialist ? It just makes them inefficient. It is GOVERNMENTS job to use the taxes (and there are MANY - PAYE, sdl, royalty, company, slp, hrd, vat etc) to uplift communities. IF government did not tax mining companies there would be MORE jobs and the communities would be better off - why ? Because government is wasting what they are given.

  • SarelJBotha - 2012-08-22 08:02

    Wake up, the labour broker( Reported as Ramaphosa), is the one coining it at expense of the workers.

  • barry.ahern.3 - 2012-08-22 08:14

    These companies are there to make a profit, why, because thats why it exists. nobody starts a business with the intention of breaking even!!! Because of this company, over 25 000 employees have jobs. but no, lets force upon them the responsibility to do what government should be doing, decreasing poverty, HOW STUPID IS THAT!? Stop biting the hand that feeds, or the hand will cease to exist. If SA government just did their jobs for a change, we wouldnt have to try rely on everybody but ourselves. But no...to easy to enflict the responsibility onto somebody else.

      allan.keyzer - 2012-08-22 09:14

      The government already takes 42% of the profit in the form of tax and just wastes it and everyone is now looking at sharing the remaining 58% as if this portion is the most important? Time the miners hold government accountable for the half share they are already receiving!!

      denis.gomo - 2012-08-23 03:56

      @Helzina...you are spot on.

  • denis.dendrinos - 2012-08-22 09:23

    if you have shares NOW is the time to sell.........

  • deon.louw.73 - 2012-08-22 10:22

    Don't the mines pay taxes, royalties, VAT, employee tax, rates to the cANCerous government? Surely, the emphasis should be holding the cANCerour government accountable for service delivery or must the private sector also take over the role of government. If so, why then pay taxes? Sorry, I forgot, the cANCerour govement cadres must be fed and have something to tender on - how stupid of me!!

      maureen.churchill.9 - 2012-08-24 09:39

      Sure the mines pay taxes, Vat, employees taxes and much more, but you are not supposed to remind the ANC of those facts. Soon this country is going to become an impoverished nation.

  • jacqui.daanevanrensburg - 2012-08-22 13:31

    Shabangu never opened her mouth when a Mandela and a Zuma raided the Aurora mine and left their workers destitute. Silly moo.

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