HomeGoldGold One suspends workers as SA strikes continue

Gold One suspends workers as SA strikes continue

Johannesburg, South Africa — 04 October 2102 – Gold One International Limited has issued suspension notices to striking employees at its Ezulwini operation in South Africa, where tens of thousands of mine and transport workers are calling for higher wages.
Bloomberg News quotes a company statement as saying that a large number of Ezulwini workers didn’t report for work on 1 October, even after the Labour Court had issued an interdict against the “illegal” strike.

“I am disappointed that despite numerous requests to return to work, both before and after the award of the interdict, our employees have chosen to be in contempt of court and are acting without any regard for the rule of law,” Gold One president and CEO Neal Froneman said in the statement. “We are therefore without any option but to suspend these striking employees.”

About 300 workers began a strike at Kumba Iron Ore Limited yesterday, adding to those at gold, platinum and coal mines in South Africa. The strikes have spread on the back of a 22% wage increase secured by Lonmin plc  workers after a six-week stoppage.

Vehicles were torched and traffic was blocked yesterday, when a protected strike by more than 20,000 truck drivers spread from Johannesburg to other provinces.

Long-term investors are divesting from South Africa gold stocks because of the strikes, Gold Fields Limited CEO Nick Holland was reported as saying in the Johannesburg-based Business Day newspaper.

Source: Bloomberg News. For more information, click here.