Retrenchment crisis: Lonmin can retrench up to 4 500 employees
Militant trade unions must learn from this – Solidarity
24 July 2015
Lonmin stated in an Article 189 retrenchment notice today that the company will soon commence with a restructuring process which will involve approximately 4 500 employees. According to Lonmin, the reasons for the retrenchment process are the weakened metal price and the consequent closure of its Hossy shaft. The company also plans to put four of its shafts under care and maintenance.
Gideon du Plessis, general secretary of Solidarity, is op the opinion that last year’s unaffordable platinum agreement, which was reached after the five month strike in the industry, contributed largely to the retrenchment process at Lonmin.
“We urge trade unions, who loudly boast their militant and revolutionary ideologies, to learn from this disastrous situation. This planned retrenchment process once again proves that strikes can rob innocent employees of their jobs,” Du Plessis said.