Trade unions on Friday said they will protect Durban Roodepoort Deep (DRD) miners in the North West from retrenchment following DRD’s warning that production must go up or they will lose their jobs.
”Solidarity will protect its members during the retrenchment process,” said the union’s spokesperson, Dirk Hermann.
”The trade union has crossed swords with DRD in the past about retrenchment processes,” he said.
The National Union of Mineworkers (NUM) believes DRD does not really want to mine in South Africa and wants to shift focus to Australasia, which was why it is considering mothballing shafts.
The NUM is considering asking the Department of Minerals and Energy to withdraw DRD’s licence and give it to someone else, spokesperson Moferefere Lekorotsoana said.
”In our view, it would be better if someone else take over the mine and saves jobs and ensures the potential growth,” he said.
On Thursday, the mine announced that unless productivity increases by 35% in 60 days, and operating losses of R71-million are cut to R40-million a month, the mines will be closed.
According to a DRD statement, in the six months to December 31 2004, DRDGold recorded a net loss of R370,1-million, of which R279,2-million, or 75%, was incurred in the North West.
Currently, the North West operations are losing about R20-million a month.
The mine’s warning is part of a formal consultative process its management is obliged to enter into with employees when it envisages dismissals based on changed operational and financial circumstances.
Hermann said the union met with DRD management on Thursday and although the issue of retrenchments was mooted, it was not stated that the entire workforce of 6 513 workers would be retrenched.
Solidarity and NUM are concerned about a large number of retrenchments.
During the past 18 months, DRD has already retrenched 2 780 workers at its North West operations and another 1 600 workers at its Blyvooruitzig mine near Carletonville, Solidarity said.
DRD boss Mark Wellesley-Wood said workers’ representatives are already talking to management about ways to improve productivity. — Sapa