Implats protest enters third day
2 000 mineworkers underground
The dispute stems in part from the group's recent acquisition of Royal Bafokeng Platinum and the replacement of a profit participation scheme with a trust.
Karl Gernetzky - By yesterday morning, some 2 000 striking mineworkers at Impala Platinum's Bafokeng Rasimone mine were still underground for a third day.
The company said on Tuesday evening that 167 had exited, adding yesterday some more exited overnight, though there had been no material change from its update.
The protest action began on Monday morning without the sanction of the representative union, the National Union of Mineworkers (NUM).
Implats says the dispute stemmed from "misunderstandings brought to the fore by the recent change in ownership at Impala Bafokeng." There are concerns spertaining to the historical employee profit share arrangement being converted, at the election of employees, into an employee share ownership trust, the group said.
Bafokeng
Implats had completed the acquisition of Royal Bafokeng Platinum (RBPlat) in 2023, now renamed Impala Bafokeng as of September, adding about 11 000 employees to the group's 42 000.
Part of this entailed an option for RBPlat employees to take part in a employee share ownership trust of the company (which owns 4% of Implats), funded by interest-free loans. This would replace the profit participation employee share option plan, as agreed to be implemented by RBPlat.
According to that plan, RBPlat would use 3% of its annual net profit after tax to acquire shares for the benefit of qualifying employees.
According to Competition Tribunal merger clearance certificate, Implats undertook that any amendment, after consultation with labour, would be on terms better or equal to the current RBPlat agreement.
Along with this, there were also views among those initiating the protest that accumulated pension fund balances would be paid out. In addition, they did not believe that statutory taxation provisions should apply to award and/or bonus payments.
Emergency measures
"Impala Bafokeng has implemented targeted emergency measures to safeguard the wellbeing of those participating in the illegal protest, voluntarily or under duress," the company said.
Management has helped the regional leadership of the NUM to go underground to talk with its members and is working with the union leadership towards a resolution to the protest action, the group added.
"The illegal underground protest is not just endangering lives, but livelihoods. Given prevailing low platinum group metal (PGM) prices, the financial sustainability of the broader PGM industry is at risk."
"This illegal protest action serves to aggravate this position at Impala Bafokeng, adding unnecessary additional pressure on the operation and, as such, its ability to sustain employment. – Fin24
The company said on Tuesday evening that 167 had exited, adding yesterday some more exited overnight, though there had been no material change from its update.
The protest action began on Monday morning without the sanction of the representative union, the National Union of Mineworkers (NUM).
Implats says the dispute stemmed from "misunderstandings brought to the fore by the recent change in ownership at Impala Bafokeng." There are concerns spertaining to the historical employee profit share arrangement being converted, at the election of employees, into an employee share ownership trust, the group said.
Bafokeng
Implats had completed the acquisition of Royal Bafokeng Platinum (RBPlat) in 2023, now renamed Impala Bafokeng as of September, adding about 11 000 employees to the group's 42 000.
Part of this entailed an option for RBPlat employees to take part in a employee share ownership trust of the company (which owns 4% of Implats), funded by interest-free loans. This would replace the profit participation employee share option plan, as agreed to be implemented by RBPlat.
According to that plan, RBPlat would use 3% of its annual net profit after tax to acquire shares for the benefit of qualifying employees.
According to Competition Tribunal merger clearance certificate, Implats undertook that any amendment, after consultation with labour, would be on terms better or equal to the current RBPlat agreement.
Along with this, there were also views among those initiating the protest that accumulated pension fund balances would be paid out. In addition, they did not believe that statutory taxation provisions should apply to award and/or bonus payments.
Emergency measures
"Impala Bafokeng has implemented targeted emergency measures to safeguard the wellbeing of those participating in the illegal protest, voluntarily or under duress," the company said.
Management has helped the regional leadership of the NUM to go underground to talk with its members and is working with the union leadership towards a resolution to the protest action, the group added.
"The illegal underground protest is not just endangering lives, but livelihoods. Given prevailing low platinum group metal (PGM) prices, the financial sustainability of the broader PGM industry is at risk."
"This illegal protest action serves to aggravate this position at Impala Bafokeng, adding unnecessary additional pressure on the operation and, as such, its ability to sustain employment. – Fin24
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