POLITICS

Parliament must act over platinum sector strike - James Lorimer

DA MP says the strike is now in its 15th week, with no resolution in sight

Platinum mining strike - Portfolio Committee must be recalled to end crisis

29 April 2014

The DA will today write to the Chairperson of the Parliamentary Portfolio Committee on Mineral Resources, Ms Faith Bikani, requesting an urgent meeting to address the breakdown in negotiations between the world's three largest platinum producers, Lonmin, Impala Platinum (Implats) and Anglo American Platinum (Amplats) and the Association of Mineworkers and Construction Union (Amcu).

In what has become South Africa's longest strike, nearing its 15th week, talks have yielded no positive resolution. Relations between the parties seem to have degenerated to such an extent that a solution seems unlikely in the near future.

Making matters worse, following news of the failure of negotiations last week Thursday, reports of violence in the area have steadily increased. 

Failure to not only end the strike within the platinum belt and create stability within the sector as a whole will decimate both domestic and foreign investor confidence and destroy prospects of future growth in the industry - depriving jobs to tens of thousands of South Africans. Those currently employed are also at risk should mining houses decide to close up shop and leave.

According to Adcorp's Employment Index (AEI), it is estimated that between the months of February and March of this year, 5 000 jobs have been lost in the mining sector alone; representing a -26.5 percentage change.

When one compounds this with the effects of the job-killing Minerals and Petroleum Resources Development Act (MPRDA) Amendment Bill, which increases investor uncertainty within the sector, job creation is destined to suffer.

It is now essential that Parliament's portfolio committee be recalled in order to fulfil its constitutional responsibilities by doing everything possible to resolve this on-going dispute. In particular, all parties should be summoned and the committee must initiate an inquiry into the underlying causes of the strike and make recommendations as to what should be done to fix it.

A committee meeting can be called at any time, even during recess, and the fourth democratic parliament is still in existence until midnight on 6 May 2014. There is ample time for Parliament to play its part in trying to help fix this crisis.

The DA will not sit back while thousands of jobs continue to be lost in the platinum sector. We will continue to do everything possible to ensure that a solution is found - sooner, rather than later.

Statement issued by James Lorimer MP, DA Shadow Minister of Mineral Resources, April 29 2014

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