BusinessLive reports that retrenchments at South32’s Hillside smelter will be avoided as an estimated 400 employees have opted for voluntary separation and early retirement packages.  

In a statement, the mining and metals company said that restructuring consultations had concluded with an agreement between all parties that would be ratified in the coming weeks.  According to Hillside Aluminium’s Calvin Mkhabela, in addition to the voluntary separation and early retirement, a salary freeze for the next three years had been agreed, while the smelter would continue to implement other cost-saving initiatives.  In February, the company had notified workers that it would be embarking on a restructuring process at the smelter and it estimated that more than 500 jobs were at stake.  Although a forced retrenchment process has now been averted, the voluntary exit of workers will significantly reduce the headcount of 1,370 at the smelter.  Marius Croucamp of trade union Solidarity commented that, although retrenchments had been avoided, the reduction in headcount was not a good outcome for labour.  But, he noted that the circumstances faced by the smelter had to be considered.  “We have to live with it for now and take it from here.  Hopefully, Hillside is now on the path to sustainability,” Croucamp said.

• Read the full original of Lisa Steyn’s report in the above regard at BusinessLive

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