Tuesday, 18 February 2014

Strike-hit platinum producer Amplats warns of restructuring

Platinum producer Anglo American Platinum (Amplats) warned on Monday that a nearly month-long strike at its SA mines could lead to further restructuring, raising the spectre of more job losses.  The firm said its strike-hit Rustenburg and Union mines were "in the most marginal financial position" and that "if the industrial action continues for much longer, we cannot rule out the need for further restructuring to ensure the long term sustainability of those mines."  The company did not specify what measures could be taken, but before the current strike the company had already announced job cuts running into the thousands.  The firm claimed the strike over wages, which started on 23 January, was costing about R100m, or 4 000 ounces of platinum each day.  Workers are demanding the doubling of their monthly basic wages to R12,500.  Last year the company, which is 80% owned by Anglo American Corporation, embarked on a massive restructuring scheme that affected around 7,000 jobs, after initially eyeing double such cutbacks.  The firm later said it had reduced the retrenchments to 3,300, then announcing that the workers had instead been given voluntary separation packages.

No comments:

Post a Comment