Miningmx reports that the bloodbath in SA’s platinum group metal (PGM) sector worsened on Monday after Wesizwe Platinum said it planned to restructure its “bloated” Bakubung mine in North West province.
Up to 571 employees of its total 761 staff complement could be affected by a restructuring in terms of Section 189 of the Labour Relations Act. A decline in PGM prices is among the reasons for the restructuring. A switch in mining method at the Bakubung as well as the effects of two strikes in each of 2022 and 2023, and a third unprotected, five-week stoppage had compounded the mine’s problems. Staff from all levels and throughout the business will be affected. Wesizwe is 45% controlled by China Africa Jinchuan. In an announcement to the JSE, Wesizwe said there “simply does not appear to be any alternatives” to restructuring as the mine was lossmaking, and owing to a need to “ensure that Bakubung is placed on a path of profitability and growth”. The producer added: “As things stand Bakubung has already stopped overtime and weekend work, did not renew contracts of mining contract services and fixed-term contracts of non-critical staff and placed a moratorium on recruitment of non-core and critical staff with the aim of reducing the bloated structure that causes inefficiencies.”
- Read the full original of the report in the above regard by David McKay at Miningmx
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