JOHANNESBURG (miningweekly.com) – Several trade unions, representatives of the Department of Mineral Resources and leaders from the South African Chamber of Mines (CoM) have committed to embarking on a ten-point action plan aimed at stemming the deluge of job losses in the buckling sector, on Monday signing a declaration crafted during a multistakeholder mining leadership process initiated by Mineral Resources Minister Ngoako Ramatlhodi on August 5.

The ‘Leaders’ Declaration – Mining Industry Commitment to Save Jobs and Ameliorate the Impact of Job Losses’ committed signatories to identifying short-, medium- and long-term interventions to solve the challenges currently facing the mining industry, including recent and potential job losses.

“Social partners [herewith] commit to addressing the challenges facing the industry.

“Some of the issues being confronted include depressed commodity prices, unsustainable cost increases, electricity supply disruptions and the pressure on the viability of mining companies. Only through preserving the viability of our industry can jobs be preserved,” commented CoM CEO Roger Baxter.

Labour union, the Association of Mineworkers and Construction Union was the only labour organisation not to sign the declaration, which was drafted under the auspices of the Mining Industry Growth and Development Task Team.

The declaration saw the parties agreeing to several “job-saving” interventions that included withholding extensions to consultation processes to allow for the implementation of interventions to address job losses; enhancing productivity and managing cost pressures; accelerating rehabilitation activities to create alternative jobs for mineworkers; facilitating the sale of distressed and other mining assets; and evaluating other alternatives to avoid job losses.

In respect of the interventions to ameliorate job losses, the CoM said in a statement that stakeholders had agreed to provide support to mineworkers in the event that job losses could not be avoided and would use the multinational companies’ procurement levy to support employment opportunities for retrenched mineworkers.

“In terms of regulatory framework and other enablers, stakeholders agreed to streamlining processes for downscaling, updating databases and exploring fiscal instruments.

“The parties would also look to promote investment in the sector, develop the market development and communicate responsibly and in alignment with the stakeholder declaration where there is a risk of job losses,” the CoM noted.

Labour union Solidarity asserted that the drafting of the plan further accomplished cooperation and dialogue among the various role-players. The union, however, questioned the CoM’s participation in the landmark agreement.

“This stands in stark contrast with the CoM’s ill-disposed actions during this year’s gold sector negotiations. Solidarity had accepted its offer precisely to avoid conflict with the chamber, after which it declared a dispute with us.

“We, therefore, find it surprising that the chamber today again emphasised that it wanted to join hands with all players and conclude partnerships, while it rejected the hand Solidarity reached to it,” commented Solidarity general-secretary Gideon du Plessis.