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Mdladlana to investigate Aurora

Johannesburg - Labour Minister Membathisi Mdladlana has launched an investigation into Aurora in terms of the Unemployment Insurance Act, as no unemployment payments have been received from the company, the Freedom Front Plus said on Monday.

This followed a parliamentary question posed by the party's leader Pieter Groenewald, the FF Plus said in a statement.

"In a reply to the question, Mdladlana acknowledged that no money had been received and that an investigation is being undertaken in terms of adhering to the requirements of the Unemployment Insurance Act and the Unemployment Insurance Contribution Act," it said.

The FF Plus said a failure to pay unemployment money by Aurora would constitute a contravention of the insurance acts.

"Strict action will have to be instituted against Aurora and I will be monitoring this," Groenewald said.

"It is unacceptable that companies are allowed to run huge undertakings such as a mine in which thousands of workers are involved, but are incapable of paying their employees," he said.

Groenewald said no exceptions could be made for black empowerment companies such as Aurora.

"Employees are dependent on their work so that they may take care of their families and if their unemployment insurance is not paid over to the state, it creates a crisis for breadwinners."

He said he had also put a question to Mining Minister Susan Shabangu on whether her department had ensured that Aurora was in a position to manage mining enterprises in the Orkney and Grootvlei areas when the company was awarded its licence.

"If her department had failed to ensure this I would like to know why and if they did, which criteria were used and to which extent the company had qualified in terms of the requirements."

Groenewald said he was still awaiting a reply.

   -  Sapa

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