Engineering News reports that steel producer ArcelorMittal SA (AMSA) has confirmed that production has ceased at its Newcastle Works, in KwaZulu-Natal, and that the process of placing its long-steel business into care and maintenance is proceeding.

“Engagements to explore alternative solutions continue. Further announcements will be made in relation to these matters as and when appropriate,” AMSA said in a statement, which came amid reports suggesting that the company could be sold. AMSA also confirmed that it had applied for leave to appeal a Labour Court judgment stipulating that retrenched workers from its longs operations in Newcastle and Vereeniging be reinstated.

The National Union of Metalworkers of SA (Numsa) approached the court in early October seeking an interdict to compel AMSA to either issue a new Section 189 retrenchment notice, or to engage in further consultations under a notice issued in January. The court found that the company should conduct further consultations, that no further dismissals should take place until these consultations were completed and that employees should be reinstated. “ArcelorMittal South Africa has applied for leave to appeal the decision,” the company advised.

• Read the full original of the report in the above regard at Engineering News

Get other news reports at the SA LabourNews home page