NEWS & ANALYSIS

The mining industry after Marikana

Peter Leon says one consequence of last year's labour unrest was a R12bn fall in mine production

Remarks by Peter Leon, Partner and Head of the Mining Sector Group, Webber Wentzel, Second Annual International Economic Law Update, Mandela Institute, University of the Witwatersrand, Johannesburg, South Africa, October 21 2013

Challenges for the South African mining industry a year after Marikana

Introduction

The death of 34 mineworkers, who had embarked on an unprotected strike at Lonmin plc's Marikana mine, on 16 August 2012, at the hands of the South African Police Service's tactical response unit, marked the beginning of the most serious labour unrest in a generation.1 In the fourth quarter of 2012, thousands of mine workers embarked on unprotected strikes which spread like wildfire across the country, seemingly spreading from the embers of Marikana.2

Labour unrest in the South African mining industry

Since Marikana, South Africa has seen upwards of thirty violent protests a day.3 The mining industry has certainly experienced its share of these protests at a number of mines:

Harmony Gold Mining's Kusasalethu mine was temporarily closed on 20 December 2012 owing to, among other things, unprotected strike action, a refusal to adhere to work policies and procedures, as well as several incidents of violence by some employees and contractors;4 and on 18 February 2013, thirteen people were injured at Anglo American Platinum's Siphumelele mine in a conflict which is believed to have occurred as a result of rivalry between mine unions.5

Union rivalry and increased wages

Violence is increasingly based on union rivalry. The mining industry is the most unionised sector in the South African economy,6 and such rivalry between unions has contributed to some of the worst incidents of labour unrest the country has witnessed since the advent of democracy in 1994.7. Turf wars between the Association of Mineworkers and Construction Union ("AMCU") and the National Union of Mineworkers ("NUM") and sporadic killings have plagued the Marikana area since August 2012. The NUM has also claimed that violence is threatening to resurge in the Marikana area after one of its branch chairs was shot dead as recently as Thursday, October 17 2013.8

These rivalries, coupled with the addition of new and more radical voice of AMCU, have also had an impact on wage negotiations between gold producers represented by the Chamber of Mines and trade unions, particularly AMCU and NUM. This was particularly evident in the talks between unions and gold producers under the auspices of Commission for Conciliation, Mediation and Arbitration in August 2013.9

For example AMCU, the second biggest union in the gold mining sector with 17 per cent representation, demanded that entry-level underground wages increase by 150 per cent to ZAR12 500. The NUM, representing approximately two-thirds of the unionised gold workers,10 demanded hikes of between 15 per cent and 60 per cent, while UASA and Solidarity sought 18 per cent and 10 per cent, respectively. The Chamber of Mines proposed a five per cent increase in wages, and a five per cent increase in accommodation-related allowances. The Chamber of Mines referred the wage dispute to the Commission for Conciliation, Mediation and Arbitration ("CCMA"). After the CCMA was unable to resolve the matter and unions embarked on a three day strike, the parties eventually settled on a wage increase of between 7.5 and 8 per cent, which the Chamber of Mines estimated would add ZAR 1.5 billion in extra costs to mining companies in the next year; 11 and

Wage increases in the mining sector have averaged 12.3 per cent per year over the past five years.12 This is well over double the consumer inflation rate, which is currently 6.4 per cent and has historically been less.13 A pattern of double digit, above inflation, wage increases has now  been the case in the mining industry for over a decade.14 Labour costs before Marikana already represented some 50 per cent of the mining industry's fixed costs and have been steadily increasing since.15

As we live in a market economy, something has to give and that something, ironically, is less employment and greater mechanisation. South Africa's mining industry shed 23 000 jobs during the twelve months before June 2013, which amounted to a 4.3 per cent decrease from number of workers employed year on year. 4 000 of these jobs were lost between April and June 2013.16 This trend is likely to continue as mines look to the possibility of mechanisation.17

General impact on the economy and mining production

Although mining's direct contribution to gross domestic product has declined to some five per cent from around twenty per cent in 1970 and nine per cent in 1994,18 the mining industry still accounts for almost sixty per cent of South Africa's export revenues.19 The mining industry thus remains a significant private sector contributor to the fiscus, providing some ZAR21.03 billion in taxes (approximately 14 per cent of total corporate income taxes) and ZAR5.56 billion in royalties in the financial year ending March 2012.20 The fortunes of the South African economy are thus inextricably linked to the fortunes of the South African mining industry.

One consequence of last year's labour unrest was a ZAR12 billion fall in mine production and a half a per cent decline in gross domestic product ("GDP"). Given the centrality of mining to exports, this in turn, increased the current account deficit to 6.5 per cent which in turn sparked substantial currency depreciation. In the third quarter of 2013, South Africa's current account deficit,21 rose even higher to a record 7 per cent. This is the second highest deficit in the G20 after Turkey (7.2 per cent).22 This is clearly not sustainable as the deficit is vulnerable to a sudden withdrawal of foreign portfolio investments in response to the ending of quantitative easing and a "risk off" approach to developing economies.

Continuing labour unrest has contributed to a 5,4 per cent year-on-year decrease in mining production from June 2012 to June 2013. 23 The largest negative growth rates were recorded for ‘other' metallic minerals (-38,0 per cent), diamonds (-22,9 per cent), platinum group metals ("PGMs") (-18,9 per cent) and gold (-14,1 per cent). The main contributors to the 6,2 per cent decrease were PGMs (contributing -4,6 percentage points) and gold (contributing -2,3 percentage points).

The South African Reserve Bank in its most recent Quarterly Bulletin,24observed that in the first quarter of 2013 "the real value added by the mining sector declined by 5,6 per cent in the second quarter [of 2013]. Pronounced declines were registered in the production of platinum and diamonds... Platinum production was hampered by escalating cost pressures, increased safety stoppages and sporadic labour disruptions that emerged during the second quarter of 2013".25

This decline in production continues to reflect the tough business conditions in a sector beset by labour issues, uncertain commodity prices and rising production costs.26 These figures improved in August 2013 when mining production increased by 2,1 per cent year-on-year. However, Nedbank's Economic Unit (the "Unit") has attributed this small increase to the volatile nature of the minerals market and not to any significant improvement in the mining sector in

South Africa. The Unit observed that these more recent figures "will have little influence on policy decisions in the short term. We expect the South African Reserve Bank to continue striking a balance between weak growth and rising inflation by maintaining its accommodative monetary policy stance well into 2014". The Unit remarked further that mine production will be subdued due to, among other things, labour strikes and rising production costs.27

At the same time, South Africa's budget deficit is now 4.8 per cent, one of the highest of any emerging market economy.28 This has been exacerbated by unrest in the mining industry as industrial action has negatively affected the amount of collectible corporate and personal taxes.29 This is problematic as the deficit itself is financed by ever increasing government borrowing which crowds out necessary capital expenditure (now 42 per cent of GDP, up from 27 per cent in 2008).

Impact on economic growth

In its most recent annual review of the South African economy, the International Monetary Fund has warned that "the economy has underperformed other emerging markets and commodity exporters, exacerbating South Africa's already high levels of unemployment and inequality, and contributing to rising social tensions". It warns further that "[t]he outlook is for continued sluggish growth and elevated current account deficits."30

Deputy Finance Minister Nene, has likewise observed that even as mining revenues are expected to rise towards the end of 2013, strikes in the mining sector will continue to contribute negatively to South Africa's growth rate. Partly as a result of industrial action in the mining sector, such as to ZAR 400 million lost in output from the recent AMCU strike at Anglo American Platinum, a poll of economists have expected growth to not exceed 2 per cent in 2013.

South African Reserve Bank deputy governor, Daniel Mminele, recently warned31 that South Africa is likely to fail to meet the forecast 2 per cent economic growth rate for 2013 if, among other things, wage talks deadlock in the mining sector and result in strikes.32

The Reserve Bank has also cautioned that the severe industrial action and violent unrest in May 2013 highlighted the risk of further mining-supply disruptions, exacerbating the depreciation of the Rand33 which has fallen by 16 per cent against the US Dollar from 31 August 2012 to 1 October 2013.34

The sustained annual 5.4 per cent economic growth rate predicted by the National Planning Commission as required for reducing unemployment and poverty thus seems highly unlikely.35

Impact on investor confidence and foreign direct investment

South Africa's mining industry since Marikana has faced a number of serious challenges.

The Fraser Institute's annual survey of mining companies for 2012/2013 (the "Survey") listed South Africa 64th out of the 96 mining jurisdictions ranked (in other words in the bottom third), and eighth of 16 African mining jurisdictions included in the survey. This is a significant fall from South Africa's ranking in the 2011/2012 Survey, where it was placed 54th of 93 mining jurisdictions ranked. The Survey cites labour regulations and disruptions, and general security as major areas of concern.

The labour unrest, in the wake of Marikana, has been identified as the cause, either wholly or in part, of South Africa's credit rating downgrades by three international rating agencies: Moody's Investor Services ("Moody's") on 27 September 2012,36 Standard and Poor's ("S&P") on 12 October 2012,37 and Fitch Ratings ("Fitch") on 10 January 2013.38 Although both S&P and Moody's39 have this year, maintained South Africa's credit rating, they have warned that the outlook remains negative, citing, among other things, resurging labour tensions as a concern.40

  • After the recent strikes in the motor vehicle manufacturing sector, Moody's has warned that a further downgrade may be imminent.41
  • South Africa needs ZAR200 billion42 in foreign investment in stocks and bonds annually to fund South Africa's 7 per cent current account deficit.43
  • Foreign Direct Investment flows into South Africa decreased by 24 per cent between 2011 and 2012 from ZAR60.6 billion to ZAR46.46 billion.44

Labour unrest has also been cited by analysts and mining companies as a creating a real risk of disinvestment. For example:

Simon Brown45 has observed that mining giants had been "slowly disinvesting from South Africa for many years. And when you look at BHP Billiton's project pipeline, South Africa doesn't feature at all"; and former AngloGold Ashanti CEO Mark Cutifani46 warned in October 2012 that continued industrial action could result in disinvestment, saying that "as for many others, there is a very clear trade-off between investing in the sustainability of our business and employment".47

This is in no small part due to cost pressures on mining companies which have arisen from ballooning labour costs as already mentioned, but also above-inflation administered prices for energy, the cost of which has increased by 251.5 per cent between 2007 and 2012,48 adding an additional ZAR7 billion to costs to platinum and gold miners alone.49 Heavy rail capacity has also been problematic as only 11 per cent of South Africa's inland freight is moved by rail.50 Low freight capacity has also increased shipping costs which currently average at 12.89 per cent of total GDP,51 comparing with India's average of 6.7 per cent and the United States' 7.7 per cent.52

The Chamber of Mines has highlighted that a lack of cost-competitive access to infrastructure has had a severe impact on the industry, noting that, during the fourth quarter of 2012, some 40 per cent of the gold mining sector was either in a marginal or lossmaking position and that if current trends continued, South Africa could produce less than 90 tons per anum of gold by 2020. In contrast to this, the Chamber suggested that if growth constraints were removed, growth could be sustained at three per cent to five per cent per year. At such a growth rate, it may be possible to add another 100 000 direct jobs.53

One really needs to question why, unlike some of our African mining competitors, access to electricity and rail infrastructure is largely monopolised by the state. Would it not make sense to allow mining companies to build, own and operate their own infrastructure subject to fair access by other producers? This is the case in, for instance, Mozambique where Vale plans to invest $1.2 billion in rejuvenating dilapidated rail lines to relevant rail concessions through its 51 per cent acquisition of Mozambique's Northern Corridor Development Company.54

The road ahead

As mentioned, mine production was affected less drastically by strikes in recent months as a result of uncharacteristically short strikes which have certainly not followed those post- Marikana. A period of relative stability appears to have emerged as a result and strides having been made towards better relations between the mining industry and unions.

The Framework Agreement for a Sustainable Mining Industry

No better example of this is the tripartite Framework Agreement for a Sustainable Mining Industry, signed by government, labour and business on 3 July, 2013 (the "Agreement"). This represents an increased understanding that government, labour and business need to "work together to ensure the sustainability of the Mining Sector for the future of the country and our people".55

The parties to the Agreement have committed to collective collaboration and cooperation as they have all recognised that the mining industry can "ill afford business as usual".56

The Agreement importantly recognises that "the rule of law and stability is a fundamental pillar of our democracy and a necessity to ensure economic and social development".57

The Agreement also recognises that the intermittent tensions that have plagued the industry in recent times "have undermined stable labour relations, constitutional rights, equity and the rule of law".

The Agreement strives for consensus to be reached among all the stakeholders in the mining industry on the processes and procedures that will bring about lasting change in the mining industry, including:

building a relationship amongst the stakeholders that is based on trust and respect and avoiding any actions that will adversely affect this relationship;

  • committing to ensuring the rule of law, peace and stability; and
  • repositioning the industry to become more attractive to investors.58

It is, however, concerning that AMCU has failed, despite earlier promises, to sign the Agreement.59

The NDP

The NDP, which is subtitled "our future - make it work", is a long-term strategic plan for the South African economy for the next seventeen years.

The NDP was drafted by the National Planning Commission, under the chairmanship of Trevor Manuel, and published on 15 August 2012. The NDP was adopted by the South African Cabinet in September 2012 as well as by the African National Congress's 53rd National Conference at Mangaung in December 2012.60

The NDP provides a frank assessment of the current state of the country's mining industry, acknowledging that it "has performed poorly over the past decade". The NDP describes this as "an opportunity lost, as estimates show the mining sector could expand by three per cent to four per cent a year to 2020, creating a further 100,000 jobs', if it could overcome its ‘central constraints'".61

The NDP notes that unlocking the growth potential of the mining sector "relies substantially on platinum group metals",62 of which South Africa is home to over 80 per cent of the world's estimated reserves.

The NDP itself observes that there is an urgent need to stimulate mining investment and production, and sets out six proposals aimed at growing investment, outputs, exports and employment in the minerals sector, which includes: addressing the major constraints impeding accelerated growth and development of the mining sector in South Africa (such as amending the Mineral and Petroleum Resources Development Act, 2002 ("MPRDA") to ensure a predictable, competitive and stable mining regulatory framework); developing and enhancing linkages with other sections of the economy; and improving the alignment of the Mining Charter requirements to ensure effectiveness in local communities.63

These are worthy objectives and every effort should be made to achieve them.

Challenge and opportunity presented by the MPRDA Amendment Bill, 2013

The objectives of the Mineral and Petroleum Resources Development Amendment Bill, 2013 (the "Bill") include improving the regulatory system and removing ambiguities from the MPRDA. However, the amendments contained in the Bill do not appear to achieve these objectives and, in fact, contradict and undermine them, and thus exacerbate the problems currently existing within the provisions of the MPRDA.

The amendments proposed under clause 21 of the Bill to amend section 26 of the MPRDA empower the Minister to set the levels and developmental pricing conditions for beneficiation of minerals as well as to consent to and set conditions for the export of "designated minerals". This could constitute a deprivation of property as envisaged in section 25(1) of the Constitution.

Section 25(1) provides that "no one may be deprived of property except in terms of law of general application, and no law may permit arbitrary deprivation of property".64

A deprivation is unconstitutional where it is arbitrary or procedurally (section 25 of the Constitution) unfair in that:

  • without clear rules, the deprivation cannot be procedurally fair; and
  • without adequate criteria, the deprivation is arbitrary.65

The proposed amendments permit interference with mining companies' right to use, enjoyment and exploitation of the minerals they have extracted, and thus constitute a deprivation. As there is no legal constraint on the Minister's discretion or clear rules of procedure in this regard, the deprivation is arbitrary and potentially unconstitutional.

Fortunately, the National Assembly's Portfolio Committee on Mineral Resources (the "Portfolio Committee") published an invitation to interested persons66 to submit written comments on the Bill.67 The Portfolio Committee received approximately eighty written submission on the Bill, and on 11, 12, 13 and 18 September 2013 it heard over forty oral representations on the Bill. Many of these submissions contained concerns on this or similar issues.

The Department of Mineral Resources and the State law advisors are scheduled to respond to the submissions made the Portfolio Committee on 23 October 2013, and according to the Parliamentary timetable, the Portfolio Committee will conduct a clause-by-clause analysis of the Bill on 30 October 2013.

Conclusion

The last year has been marked by on-going labour unrest in the mining industry. This has had a clear impact on the industry and thus on the macro economy. However, hope of stability has emerged as we entered the fourth quarter of 2013 as we see strikes declining in length and affecting production less than expected.

Of particular significance is the acceptance by most stakeholders of the Agreement. Although it remains concerning that AMCU has not yet accepted it, the Agreement is representative of the kind of stakeholder democracy that South Africa requires - one where mining companies are responsive to not only their shareholders, but to all their key stakeholders.68

The NDP, despite the criticisms that may be levelled against it, provides a critical roadmap in this regard.

Footnotes:

Lonmin's killing fields: the inevitable, tragic next move, Daily Maverick, 17 August 2012; South Africa's Amplats takes action against strikers, Reuters, 27 September 2013

2 A Osborne Marikana labour unrest spread to other South African mines The Telegraph (Accessed 20 October 2013); S Njanji Gold Fields evicts workers as mining strike spreadsMail & Guardian (Accessed 3 October 2013).

3 G Hosken Marikana: The rage will come again Times Live 13 August 2013.

4 C Jamasmie Labour unrest forces Harmony Gold to close South African mine Mining,com 20 December 2012. Harmony

Harmony's Kusasalethu mine to re-open 14 February 2013 (Accessed 16 August 2013); The mine reopened in a phased approach on 14 February 2013.

5 All Africa South Africa: Government Condemns Mine Violence 20 February 2013 (Accessed 16 August 2013).

6 Quarterly Labour Force SurveyQuarter 2, 2013Statistics SA, 30 July 2013, at xii.

77, 3 per cent of salary negotiations in the mining industry are undertaken between unions and employers. StatsSA's Quarterly Labour Force Survey: Quarter 2, 2013, Statistics SA, 30 July 2013, at xi records that:

"Entitlement to paid sick leave, paid annual leave and UIF were the most available benefits (more than three fifths) offered by employers in Q2:2013, while access to medical aid benefit (31,5%) was least available to employees. Access to benefits was least available to employees in Private households, Construction and Agricultural industries. The majority (more than 70%) of employees in the Mining and utilities industries had access to all benefits. Access to benefits in the Mining industry was mostly influenced by unionisation(about 80% employees were unionised)".

7 A Janse van Vuuren Implats says NUM has 'some way to go' before regaining recognitionMail & Guardian 15 July 2013.

NUM union says Lonmin activist shot dead Reuters 18 October 2013 (Accessed 18 October 2013); see also L Prinsloo Amcu warns of 'second phase of Marikana' in SABusiness Day 4 August 2013.

9 N Greve Gold sector wage negotiations to start July 11 Mining Weekly 28 June 2011.

10 A Seccombe Amcu joins wage talks with gold producers Business Day 7 August 2013.

11 Gold wage hikes to cost companies over R1 billion SABC, 11 September 2013 (Accessed 17 October 2013).

12 Ibid.

13 N Hedley Favourable labour laws in Africa 'promote investment over SA' Business Day Live 17 October 2013 (Accessed 18 October 2013); South Africa Inflation Rate Trading Economics (Accessed 20 October 2013).

14 J Marais South Africa's mining sector bracs for tough talks The Africa Report (Accessed 20 October 2013).

15 N Young South African platinum miners Coronation Fund Managers, October 2012 (Accessed 20 October 2013)

16 Quarterly Employment Statistics Statistical Release P0277 Statistics SA, 17 September 2013, at 5.

17 W Maboja Mechanising Mines in South Africa a Double-Edged Sword CNBC Africa 18 October 2013 (Accessed 21 October 2013).

18 South Africa's mines: In the pits, The Economist, 25 August 2012.

19 National Development Plan 2030: Our future - make it work (the "NDP"), National Planning Commission, 15 August 2012, at 146.

20 Annual Report 2011-2012, South African Revenue Service, 2012, at 26 and 79.

21 South Africa 2013 Article IV Consultation, IMF Country Report No. 13/303, October 2013, International Monetary Fund, at 8.

22 The Economist, 19 October 2013.

23 Statistics South Africa ("StatsSA") Statistical Release P2041 - Mining: Production and sales, August 2013 is the most recent statistical release from StatsSA.

24 Published in September 2013.

25 South African Reserve Bank Full Quarterly Bulletin, 269, September 2013.

26 BUSINESS DAY TV: Mining output falls again in June Business Day 12 August 2013.

27 N Greve Higher copper outputs lifts August mining production 2.1% Miningmx 10 October 2013 (Accessed

18 October 2013).

28 Ibid.

29 South Africa 2013 Article IV Consultation, IMF Country Report No. 13/303, October 2013, International Monetary Fund, at 17 fn 14.

30 A England Road ahead for South Africa looks bumpy as growth falls Financial Times 21 October 2013.

31 On 13 August 2013.

32 N Maswanganyi Reserve Bank's Mminele warns of SA growth dipping below 2% Business Day 13 August 2013.

33 South African Reserve Bank Full Quarterly Bulletin, 269, September 2013.

34 Oanda Historical Exchange Rates ZAR // USD from 31 August 2012 to 1 August 2013(Accessed 17 October 2013).

35 The Economist South Africa's economy: Muddle through will no longer do 1 June 2013; NDP, 64.

36 Moodys's Moody's downgrades South Africa's government bond rating to Baa1; outlook remains negative (Accessed 16 August 2013).

37 Stanlib SA's credit rating downgraded by Standard and Poor's to BBB from BBB+. The negative outlook maintained

(Accessed 16 August 2013).

38 Moody's downgrades South Africa's government bond rating to Baa1; outlook remains negative, Moody's Investor Services, 27

September 2012; South Africa FC Long-Term Rating Lowered To 'BBB'; LC Ratings Lowered To 'A-/A-2'; Outlook Remains Negative, Standard and Poor's, 12 October 2012; and Fitch Downgrades South Africa to 'BBB'; Outlook Stable, Fitch Ratings, 10 January 2013.

Reuters Fitch downgrades S.Africa, cites political tensions 10 January 2013 (Accessed16 August 2013).

39 On 13 March 2013 and 18 July 2013 respectively

40 C Benjamin S&P's affirms SA's credit rating with negative outlook Mail & Guardian 13 March 2013. Reuters SA's BAA1 credit rating affirmed - Moody's Moneyweb 18 July 2013. A Martinez SA's Moody rating remains bleak amidst ongoing strikes Mail & Guardian 15 May 2013.

41 R Brand Moody's flags South African downgrade risk on BMW retreat Bloomberg 16 October 2013 (Accessed 18 October 2013).

42 OLD MUTUAL INVESTORS' FUND June 2013 (https://www.oldmutual.co.za/documents/UT08Factsheets/OldMutualInvestorsFund.pdfAccessed 15 August 2013).

43 SAnews.og.za SA's current account deficit narrows SouthAfrica.info 20 June 2013; The Economist, 19 October 2013.

44 SAPA Foreign direct investment into SA down 24% Moneyweb 27 June 2013 (http://www.moneyweb.co.za/moneyweb- economic-trends/foreign-direct-investment-into-sa-down-24).

45 Of JustOneLap, financial and investment consultancy.

46 Mark Cutifani is now CEO of Anglo American Plc.

47 L Steyn Threat of disinvestment looms large (Accessed 17 October 2013)

48 T Creamer Big users urge hard line on Eskom costs as utility delays tariff submissionMining Weekly 31 August 2013 (Accessed 21 October 2013).

49 J Clark SA platinum, gold mining electricity costs up $780m since 2007 Mineweb 31 January 2013 (Accessed 21 October 2013).

50 R Munshi How Transnet's R300bn plan is taking off Financial Mail 22 March 2013 (Accessed 21 October 2013).

51 State of Logistics Survey for South Africa 2012 CSIR, at iii.

52 L Gedye Durban port expansion: Drastic makeover for shipping Mail & Guardian 28 September 2013 (Accessed 21 October 2013).

53 S Moodley Chamber official calls for 'tough' decisions for mining to reach its full potential Mining Weekly 6 September 2013 (, Accessed 20 October 2013).

54 Vale acquires 51% stake in Mozambique rail firm Business News Americas 22 September 2010 (Accessed 21 October 2013); K Campbell Mozambique bottlenecks not discouraging Vale nor stopping growth  Mining Weekly 27 September 2013 (Accessed 21 October 2013).

55 Now implement the mining agreement says COSATU COSATU 5 July 2013 (, Accessed 17 October 2013).

56 Clause 1.8 Framework agreement for a Sustainable Mining Industry entered into by Organised Labour, Organised Business and Government, 03 July 2013.

57 Clause 1.2 Framework agreement for a Sustainable Mining Industry entered into by Organised Labour, Organised Business

and Government, 03 July 2013.

58 Clause 1.7 Framework agreement for a Sustainable Mining Industry entered into by Organised Labour, Organised Business and Government, 03 July 2013.

59 K Sosibo Motlanthe minimises Amcu's demands after walkout Mail & Guardian (thttp://mg.co.za/article/2013-07-03-motlanthe- minimises-amcus-demands Accessed 28 July 2013).

60 The document was drafted by the National Planning Commission under the chairmanship of Trevor Manuel, who is the Minister

in the Presidency responsible for the Commission. The NDP proposes that, in order to address the major constraints inhibiting accelerated growth and development of South Africa's mining sector, the government must, among other things, "[pass] amendments to the [MPRDA] to ensure a predictable, competitive and stable mining regulatory framework".

Institute for Security Studies The National Development Plan can improve policing in SouthAfrica 17 April 2013 (Accessed 21 June 2013) "The NDP was developed by the National Planning Commission (NPC) in the Office of the Presidency and was endorsed by the South African Cabinet at a lekgotla in September 2012. The African National Congress (ANC) subsequently adopted it in December 2012".

61 The NDP, at 146.

62 Ibid.

63 The NDP, at 41.

64 The Constitutional Court has held that, "any interference with the use, enjoyment or exploitation of private property involves some deprivation in respect of the person having title or right to or in the property concerned"; see First National Bank of SA Limited t/a Wesbank v Minister of Finance 2002 (7) BCLR 702 (CC) at para 57

65 See Janse van Rensburg v Minister of Trade and Industry 2001 (1) SA 29 (CC).

66 On 5 August 2013.

67 On or before 12h00 on 6 September 2013.

68 D Matten and A Crane What is stakeholder democracy? Perspectives and issues Business Ethics: A European Review Volume 14, Issue 1, pages 6-13, January 2005.

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