We will not negotiate pay - Gold Fields

2012-09-19 12:08

Johannesburg - Gold Fields [JSE:GFI] said on Wednesday that it would not and could not negotiate the salary demands of striking workers at its KDC west operations, near Carletonville, on the West Rand.

"We are not going to negotiate salary, and we cannot," said spokesperson Sven Lunsche.

"The gold mining industry, unlike the platinum industry, negotiates in a collective bargaining forum. All gold mining companies negotiate jointly with the trade unions."

He said the companies and the unions were in the midst of the latest agreement, a two-year wage and salary accord by the industry and the unions, led by the National Union of Mineworkers (Num).

"For one member to unilaterally raise new issues is not done. We cannot suddenly, unilaterally negotiate separate salaries with our KDC workers."

The accords had worked well for the industry and the unions for almost the last two decades, he said.

At KDC west, a strike by 15 000 employees continued.

"The strike is still continuing and our engagement efforts also continue at this time," said Lunsche.

Gold Fields chief executive Nick Holland said in a newspaper report on Wednesday that Gold Fields was losing 1 400 ounces a day because of the strike, and that this represented 15% of the group's production.

The company's other operations could sustain it, Business Day reported.

"We could go on for quite some time. We are a very strong company financially," Holland said.

He said KDC consisted of mature operations, and with the company having made US$161m (about R1.3bn) in cash flow over the last quarter, for assets that had been in production for 40 to 50 years, this represented an adequate return.

The company obtained a Labour Court interdict declaring the strike unprotected last week. This means legal protective processes related to an industrial dispute were not followed.

* Follow Fin24 on TwitterFacebookGoogle+ and Pinterest


  • tebza.ngoatoana - 2012-09-19 12:17

    Lonmin said so too.

      merven.halo - 2012-09-19 12:44

      Lock and load.

      pieter0827006294 - 2012-09-19 12:50

      Lets see how that holds!

  • brawt.transformation - 2012-09-19 12:23

    lets wait a couple of days...

  • osmaseko - 2012-09-19 12:27

    The accords had worked well for the industry and the unions for almost the last two decades, he said. This is time for Economic Freedom baba..dont come here with your last 20 years tendencies.....wait until Malema addresses the workers's either you ship in or ship out...Learn from Lonmin

      Sean1877 - 2012-09-19 13:06

      What a chop. Were you and Malema class mates perhaps? same IQ it seems...

      george.slade.161 - 2012-09-19 13:25

      Ignorant Arrogant Clown: Economic freedom is not a Right --Get off your Affirmative Fundamental Orifice and work for it !

      sean.noble1 - 2012-09-19 13:26

      Yeah lonmin was a great example, they lost about 13k each for striking and not getting paid, while they will earn 12k more next year thanks to the strike. Highly intelligent bunch you have there.

      lizelle.leroux.31 - 2012-09-19 13:39

      @osmaseko you say "dont come here with your last 20 years tendencies" If I recall correct the last 20 ears has been a new democracy and a new government what are you on about??????????

      martin.melzer.988 - 2012-09-19 17:58

      I think you may have to wait some time before Malema is allowed to address miners.

  • aroka.murombe - 2012-09-19 12:28

    Stop fooling around and give the workers what they worth period.......

      hermann.hanekom - 2012-09-19 12:38

      Not very much Aroka and they are replaceable.

      bennie.kruger.5 - 2012-09-19 12:40

      will they take a decrease? so shut the FU.

      helio.paulo.7 - 2012-09-19 13:23

      They arent worth them!!!!

      martin.melzer.988 - 2012-09-19 17:59

      Yeah, but who decides what they're worth??

  • dimitripappas - 2012-09-19 12:30

    If they're so strong financially, I don't see why they can't satisfy the workforce that provides them with that wealth? Why should fat-cats management reap all the benefits? Very obscure. Risky jobs -> fair pay. Failure to follow that very obvious intuition leads to strikes & chaos such as this

      sandra.j.rennie - 2012-09-19 12:51

      Because the fat cats as you so call take all the risks of running a business. Simple actually !

      blip.noodlum - 2012-09-19 13:13

      No, they don't. They're only obscenely-overpaid employees who work for the shareholders who are the ones who take the risk. Directors don't own the mine.

      martin.melzer.988 - 2012-09-19 18:01

      Perhaps it should lead to legal strikes but there's no excuse for illegal chaos.

  • tshepo.maganedisa - 2012-09-19 12:34

    so you are waiting for that the day when your cashflow will be affected?Just know that the miners are adamant too and they are not going to back down, so if i were you i would start engaging my workers instead of engaging the media

      martin.melzer.988 - 2012-09-19 18:07

      If workers want to be "engaged" then they have to stay within the law. Industrial law governs "engagement" for both sides, not just one side.

  • klaas.waarzegger.7 - 2012-09-19 12:35


      merven.halo - 2012-09-19 12:44

      Was thinking the same thing, not very clever.

      deon.louw.7505 - 2012-09-19 13:03

      He is stating the obvious, bosses can survive 6 months or more, miners not. I will be surprised if they don't start diisciplinary action soon as this is another illegal unprotected strike.

  • hermann.hanekom - 2012-09-19 12:38

    Sit them out Gold Fields, hunger will soon stimulate the few brain cells they have.

      alansmartSnr - 2012-09-19 23:26

      ..I find it heart breaking that Lonmin management gave in to the thugs and even made an offer, as this was an illegal strike. Should have done a Magereth Thatcher on them and fired the lolt. Three weeks training on specific tasks and the mine would have been out of the woods. This is utter blackmailing and they(the management) succumbed. Thank God Gold fields will be a different story. I'm reasonably sure that they will not be so spineless.. Am quite involved in the IT aspect of the mines..So I can reasonably predict that Gold Fields will be a different kettle of fish. So.. Let those uneducated, unskilled, labourers try their luck there.. I think they will get some bloody noses .. and feel what it's like to join the "unemployable queue.

  • robertgrahamjones - 2012-09-19 12:46

    Lonmin has started a chatestrophic way of handling the illegal strike, give a murderer a bonus becouse you murder or steal is not how they should handle it, period. Every person in this country can expect the same ie. bonuses for illegal strike ,violence, intemidation and lets not foeget murder .Who is running this place?

  • mmangaliso - 2012-09-19 13:04

    why nt write '1 400 ounces' as a value in Rands so that ppl cn see the bigger pic

      anette.smith.16 - 2012-09-19 13:30

      Do you not own a calculator?

      Ze Don - 2012-09-19 13:43

      R20,462,556.80 but the strikers save the mine R2,423,076.92 every day they don't get paid.

  • aroka.murombe - 2012-09-19 13:08

    Who made you financially strong? The workers I guess. So give them a peace of the cake, democratically they deserve it....

      helio.paulo.7 - 2012-09-19 13:25


      george.slade.161 - 2012-09-19 13:29

      Aroka : A "peace" of the Cake indeed !!! Either you have a sense of humour or are Illiterate !! I think I know which ! - 2012-09-19 15:19


      JamesMWood - 2012-09-19 15:30

      Good financial management made them finacially strong, re democratic right, they should be grateful to have a job

  • Bra Tebzaah Sibilanga - 2012-09-19 13:36

    Why cant you pay them since you are strong financialy?Or you want to take your time and loose more production before agreeing to pay them like Lonmin?These 'management' are just so pathetic sometimes

      Ze Don - 2012-09-19 14:03

      Due to the fact that it's an illegal, unprotected strike. Fire them all and hire people that want to work!

      Bra Tebzaah Sibilanga - 2012-09-19 15:42

      You shouldn't have commented,you know they wont fire them.Stop commenting the impossibilities.

  • pal.mabelane - 2012-09-19 14:13

    About time one company took a stand...

      zapadela.tistarocha - 2012-09-19 17:27

      They will be history soon....

  • mike.clery - 2012-09-19 14:22

    Goldfields are correctly refusing to negotiate because they've *already* negotiated and are "in the midst of the latest agreement, a two-year wage and salary accord by the industry and the unions". What's the point of collective bargaining if one party is going to ignore any agreement when it suits them? You might as well scrap all labour laws and allow workers to strike at will and employers to hire and fire at will - and pay the absolute minimum that the hordes of unemployed are prepared to work for. The irony is that just the other day the government was urging the platinum mining industry to implement collective bargaining. It obviously won't make any difference if this strike is anything to go by.

  • asandangwane - 2012-09-19 15:17

    I'm sure u wating for 34 miners to die before u change yo minds, under the current cercumstances this statement is irresponsible.

  • Caiphus Molatelo Mahlaka - 2012-09-19 15:25

    Gold Fields are wasting their time on this matter,they will eventually succumbs to workers demands

  • luke.dekoker - 2012-09-19 15:49

    Fire the idiots and let them go and work for the lame management of Lonmin

  • pages:
  • 1