[miningmx.com] – SOUTH Africa’s platinum producers were likely to prefer a prolonged strike than acceded to double digit pay increases, said Bloomberg News citing analysts on the threat posed by wage related strikes in the industry.
“The health of the industry is already in question,’ Tyler Broda, an analyst at Nomura International told the newswire. “It is going to be very difficult to give much more. The companies are unfortunately heading toward a path where they will take their chances with a protracted strike.’
“If the platinum industry on the whole settles for double digits, it will send a hell of a negative message,’ said Sean Ashton, chief investment officer at Anchor Capital in Johannesburg. “They can’t afford those kind of increases.’
The Association of Mineworkers & Construction Union is threatening strike action at the mines of Anglo American Platinum, Impala Platinum and Lonmin.
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