[miningmx.com] — SOUTH AFRICA’S Minister of Finance, Pravin Gordhan,
on Friday spelled out the economic ramifications of the ongoing labour crisis facing
the country’s mining sector, as the government vowed to step up action against acts
of violence and intimidation.
Sharing a podium with the Minister of Justice and Constitutional Development, Jeff
Radebe, Gordhan said the wave of unprotected strikes and work stoppages were
damaging South Africa’s economy “in more ways than we understand at the moment’.
“If this instability continues, firstly the cost will be in terms of the overall growth
numbers of South Africa. Secondly it will be in relation to the production of mineral
resources which constitute an important part of our exports.
“The third implication is for employment. When we talk 23%, 24% employment in
South Africa, we cannot allow a set of activities to go on which threatens our
employment numbers in this country. Fourthly, and very importantly, everybody in
South Africa has a responsibility to ensure that we boost the confidence in our country
and our economy.
“What we say, what we do, the violent acts we engage in, or the incitement or
perpetration of violence undermines confidence in the South African economy.’
Anglo American Platinum on Wednesday halted all its operations in the Rustenburg
are, citing intimidation of workers. This followed in the wake of an illegal strike at
Lonmin’s Marikana, which was the precursor to the killing of 45 people since August
11. Gold Fields’ KDC West shaft is also unproductive due to an unprotected strike by
15,000 employees.
Radebe said the acts of violence and intimidation were undermining the country’s
effort to bring about economic and security stability.
“Government recognises that if the current situation continues unabated it will make it
even harder to overcome our challenges of slow economic growth, high
unemployment, poverty and inequality,’ he said, announcing that illegal gatherings,
the carrying of dangerous weapons, incitement as well as threats of violence against
anyone would be “dealt with accordingly’.
