Sibanye CEO Neal Froneman
Photo by: Creamer Media
Precious metals miner Sibanye-Stillwater on Thursday confirmed that 1 142 employees had been retrenched during a now-concluded Section 189 process at its Marikana operation, which it acquired when it bought out troubled platinum group metals (PGMs) miner Lonmin for R5.2-billion in June last year.
JSE- and NYSE-listed Sibanye, which operates gold mines and PGMs operations in South Africa and a platinum and palladium mine in the US, embarked on the Section 189 process after a three-month review of the Marikana operations, some of which had been loss-making for some time.
In addition to the retrenched employees, the number of contractors were also reduced by 1 709, while 1 612 employees had accepted voluntary separation packages, 53 had retired and 259 jobs were cut through natural attrition.
In the process, the group had also been able to offer 166 persons jobs at other operations.
Meanwhile, as part of the restructuring efforts at Marikana, Sibanye decided that limited mining, sweeping and reclamation would continue at Shaft 1B and a specific sweeping and vamping project until December this year, provided that the projects remain profitable on a three-month average period. This resulted in the preservation of 329 jobs, Sibanye said.
“We are pleased with the outcome of the consultations with stakeholders, which despite the necessary closure of some end-of-life shafts, resulted in the preservation of a number of jobs. This will result in a more sustainable business which will secure employment for the majority of the Marikana workforce for a much longer period,” commented CEO Neal Froneman.