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Johannesburg - The South African operations of global miner Xstrata were disrupted on Monday after hundreds of workers joined a walk-out in protest over an employee share ownership programme, the company said.
Xstrata spokesman Songezo Zibi said the impact of the strike on its coal and alloys operations was yet to be determined.
“All Xstrata Coal South Africa’s operations are affected and a number of Xstrata Alloys operations have also been impacted,” he said.
Xstrata’s South African operations produced 8.4 million tonnes of thermal coal and 581,000 tonnes of ferrochrome, used to make stainless steel, in the six months to the end of June. The alloys operations also produce vanadium and platinum group metals.
The National Union of Mineworkers (Num) said last week it wanted employees to be compensated equally under a proposed share ownership programme, regardless of rank, while the company’s plan compensates employees based on their level.
Around 5 180 workers or 43% of Xstrata’s total workforce in South Africa are members of the Num.
The union said it expected all of the workers to participate in the strike, although it was still counting the numbers of those who have walked off the job. SpokespersonLesiba Seshoka said other unions, which represent additional workers at Xstrata, may join the strike.
“The strike is extensive and full-blown,” Seshoka said.
He said the union expected the company to respond to its demands later on Monday, although no formal meetings had been scheduled.
Xstrata’s Zibi said all discussions regarding the employee share ownership programme were suspended due to the strike.
The company employs just under 12 100 workers in South Africa, and three-quarters of them belong to unions.
Xstrata spokesman Songezo Zibi said the impact of the strike on its coal and alloys operations was yet to be determined.
“All Xstrata Coal South Africa’s operations are affected and a number of Xstrata Alloys operations have also been impacted,” he said.
Xstrata’s South African operations produced 8.4 million tonnes of thermal coal and 581,000 tonnes of ferrochrome, used to make stainless steel, in the six months to the end of June. The alloys operations also produce vanadium and platinum group metals.
The National Union of Mineworkers (Num) said last week it wanted employees to be compensated equally under a proposed share ownership programme, regardless of rank, while the company’s plan compensates employees based on their level.
Around 5 180 workers or 43% of Xstrata’s total workforce in South Africa are members of the Num.
The union said it expected all of the workers to participate in the strike, although it was still counting the numbers of those who have walked off the job. SpokespersonLesiba Seshoka said other unions, which represent additional workers at Xstrata, may join the strike.
“The strike is extensive and full-blown,” Seshoka said.
He said the union expected the company to respond to its demands later on Monday, although no formal meetings had been scheduled.
Xstrata’s Zibi said all discussions regarding the employee share ownership programme were suspended due to the strike.
The company employs just under 12 100 workers in South Africa, and three-quarters of them belong to unions.
