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Johannesburg – The SA mining ministry hopes to clinch a deal with mining companies and trade unions next week aimed at saving jobs.
The mining industry, which contributes around 7% to the SA economy, is struggling with sinking commodity prices, rising costs and labour unrest, forcing a number of companies into mine closures and layoffs.
The ministry, which held talks with the industry and unions earlier this month, has responded by convening a meeting on Monday at which it says companies will commit to avoiding job losses.
"On Monday there will be a meeting to sign off on the mining industry's commitment to save jobs and ameliorate the impact of job losses," the mining minister’s spokesperson Mahlodi Muofhe told Reuters, without saying if any specific job-saving measures were on the cards.
Gideon Du Plessis, general secretary of the Solidarity union, told Reuters there was an agreement in principle on measures to save jobs. He said a final agreement needed final "tweaks" but was "very progressive and positive".
But he declined to give further clarification on the agreement.
Livhuwani Mammburu, spokesperson of the National Union of Mineworkers, the mining sector's biggest union, said there was general agreement on a range of issues to preserve jobs but gave no further details.
The Chamber of Mines, which represents mining companies, said its members would participate in the process but declined to say they would sign a deal on jobs.
"We are of the view that the way to stem job losses is to ensure that companies are more profitable, not less," Memory Johnstone, a spokesperson for the Chamber of Mines, said.
Mining companies, including Glencore, Kumba Iron Ore, Sibanye Gold, Lonmin , Anglo American Platinum and Impala Platinum, have said they plan to cut jobs but are facing pressure from unions and the government to maintain jobs.
Prices of minerals mined in SA, including platinum, gold, coal and iron ore, have dropped to multi-year lows due to oversupply and global growth concerns.
