South African Gold Mines “Would Not Weather Strike” (BusinessDay)
BusinessDay has reported that the South Africa Chamber of Mines has warned if the Association of Mineworkers and Construction Union (Amcu) won the right to strike in the gold sector, it would devastate producers. The implications of a protracted work stoppage at gold mining companies would be more severe due to the generally lower profit margins compared to their platinum sector counterparts.
Amcu is now in its fifth month of a wage strike in the platinum sector. On Friday, they returned to court to argue that preventing its members from striking for a R12,500 basic wage in the gold sector is unconstitutional.
Amcu represented 17% of workers during gold sector wage negotiations in September, at which a wage settlement of up to 8% for lower-paid workers was accepted by three other unions. However, Amcu, which refused to sign the agreement and wanted to embark on industrial action in both the gold and platinum sectors in January, was temporarily interdicted from striking.
To read the whole article, Gold mines ‘would not weather strike,’ go to the website of BusinessDay. In addition, see Mining’s Iron Grip on the South African Economy (Reuters) and South Africa’s Broken Mining Labor Model (BD).
- Mining’s Iron Grip on the South African Economy (Reuters)
- South Africa’s Broken Mining Labor Model (BD)
- Iron Ore, Gold Rush Push South Africa’s Miners to 11-Year High (Bloomberg)
- South Africa Mining Sector Faces Unrest and Other Woes (BusinessReport)
- South Africa Stocks “Expensive Within Emerging Markets” (Moneyweb.co.za)
- China’s Gung-ho Foray Into Africa Gets a Reality Check (Bloomberg)
- ECB Rate Cut Will Likely Send Return Hungry Investors to South Africa (BusinessDay)
- South Africa’s Key Economic Sectors (Brand South Africa)
- South Africa Falls to #56 in the Global Competitiveness Report
- S&P South Africa Downgrade Excerpt (Rand Daily Mail)