HomeGoldERPM may retrench 400

ERPM may retrench 400

Underground station
at DRDGold’s
ERPM gold mine
Johannesburg, South Africa — MININGREVIEW.COM — April 29, 2008 – DRDGOLD Limited – a medium-sized gold producer with operations and exploration activities in South Africa – has confirmed that wholly-owned subsidiary East Rand Propriety Mines (ERPM) may have to retrench up to 400 workers.

In an announcement just before the start of the long weekend, ERPM gave notice of its intention to initiate Labour Relations Act (LRA) consultation with recognised trade unions. It intends – in terms of the provisions of Sections 189 and 189A of the LRA – starting a 60-day formal consultation process.

ERPM management envisages that up to 400 employees may be affected by the exercise.

The announcement added that the first formal consultation meeting in terms of Section 189 of the LRA may take place as early as 6 May 2008, under the auspices of a facilitator appointed by the Commission for Conciliation, Mediation and Arbitration.

Earlier last week, the National Union of Mineworkers (NUM) issued a statement outlining its intention to strike on 6 May 2008 over the retrenchment issue, which it deemed unreasonable.

ERPM had been in discussion with organised labour after it had been deemed necessary to stop mining two uneconomical working areas underground for safety reasons.