ANGLO American Platinum (Amplats) said it was focusing its efforts on returning its Mototolo mine to full production as quickly as it was “practical to do so”. This is following the conclusion of a strike in which 643 employees were dismissed.
The strike, which was unprotected, lasted for about 18 days and turned on a dispute regarding alleged unilateral changes in employees’ conditions of service, according to the union, the General Industrial Workers Union of South Africa (GIWUSA).
Amplats said in a statement today that GIWUSA accepted that the proposed medical aid met all requirements as per labour law governing asset transfer.
Amplats bought Glencore’s 39% stake in Mototolo, which was being operated as a joint venture, in July 2018. The mine is 30 kilometres west of Burgersfort in South Africa’s Limpopo province.
In terms of the return to work agreement with GIWUSA, signed on May 29, all dismissed employees will be reinstated at the mine, said Amplats. They will report for work on May 31 (Friday), it added.
“While the no work, no pay principle will be applied for the duration of the strike, the agreement also makes provision for employees to earn back their lost income within the next four months through working additional shifts and to make up for lost production,” the company said.
“We are pleased that we have been able to reach a mutually acceptable outcome through negotiations,” said Chris Griffith, CEO of Amplats. “Our priority is now to safely restore the mine to full production as quickly as it is practical to do so,” he said.
Resolution of the strike is one less headache for Griffith as the company prepares for an uncertain operating environment ahead of wage talks with unions, including the Association of Mineworkers & Construction Union (AMCU).
Amplats reported an 18% decline in first quarter refined platinum production to 411,700 ounces whilst refined palladium production decreased by 8% to 293,600 oz, a decline partly blamed on maintenance required at both the Base Metals Refinery and the converter plant. Production guidance was, however, unchanged at two million to 2.1 million oz of platinum whilst it was aiming for palladium output of 1.3 to 1.4 million oz.
