Anglo Platinum, the world’s largest producer of the metal, said on Monday that it would shed 10 000 jobs this year to cope with lower prices and sagging demand from car makers.
Chief executive Neville Nicolau told a briefing that 8 000 jobs would be cut in the first half of the year, with about three-fourths of the losses hitting contract workers and the rest affecting mine labourers.
Another 2 000 mine workers stand to lose their jobs in the second half of the year, he said. All the losses hitting mine workers would come mainly through the annual turnover rate of about 5% in the minefields.
“The global economic crisis has struck, and has influenced our medium-term strategy,” Nicolau said.
The company’s headline earnings were up to R13,3-billion, from R12,32-billion last year.
Anglo Platinum, which produces about two-fifths of the world’s platinum supply, said that production would remain flat this year at about 2,3-million ounces.
Nicolau said the company expects prices to stabilise this year at about $1 000, after last year’s enormous drop when prices plunged from more than $2 000 to about $800.
Prices rebounded to just below $1 000 at the end of the year. — AFP