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Business Report writes that trade union Solidarity yesterday released a report highlighting the negative impact the third version of the mining charter poses to the mining industry.

The Solidarity Research Institute said in the report that the many provisions in the charter represented enormous added costs for mining right holders, who would be forced to attempt to make up these costs in other areas, such as labour.

“This is likely to lead to severe job losses. The ownership requirements mean that many local mining companies will be forced to restructure, or ‘top up’, their black ownership in order to comply with the charter,” the report said.

A court hearing to have the charter reviewed and set aside is scheduled for the high court in Pretoria between Monday and Wednesday next week.

The Chamber of Mines applied for a judicial review last year to have the charter set aside, citing lack of consultation and that the chamber was detrimental to the industry and the economy. Solidarity is acting as friend of the court in support of the chamber. Anton van der Bijl, head of Solidarity’s Centre for Fair Labour Practices, said yesterday that Solidarity’s role was to provide information to the court and to support the Chamber of Mines.

Van der Bijl argued that the latest charter was discriminatory, unlawful and unconstitutional and that, for those reasons, it needed to be revised and set aside. “The consequences and impact this charter will have on the South African economy as a whole and the mining industry in particular are counter-productive given the charter’s declared objectives. Acceptance of the charter would thus be irrational,” Van der Bijl said.

This report by Dineo Faku appeared on page 19 of Business Report of 15 February 2018


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