IMP
IMPO
IMP - Impala Platinum Holdings - Striking workers return to work at Implats
Impala Platinum Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration No. 1957/001979/06)
ISIN: ZAE000083648
JSE Share Code : IMP
LSE Share Code : IPLA
ADR Code : IMPUY
("Implats" or "the company")
Striking workers return to work at Implats
The work stoppage at Implats has ended, with all striking employees returning to
work effective from the night shift on 7 September 2009.
Following on from discussions with the National Union of Mineworkers (NUM) and
other employee representatives over the past few days, employees have accepted
the company`s wage proposals and elected to return to work.
The company still believes that in light of the current economic situation and a
strong decline in the CPI to 6,7%, that this offer is fair and reasonable and
hope to sign a final agreement with all the employee representatives soon.
Strike action is never a desired outcome, with severe consequences for both the
employer and the employees. Implats remains committed to resolving all the
underlining relationship issues between our employees, the unions and the
company. In particular, we denounce, in the strongest possible terms, the level
of violence that has accompanied this particular work stoppage. The principle
of no work no pay will apply to the full duration of the work stoppage and
disciplinary action will be taken against all individuals found guilty of
intimidation, violence and property damage.
Background
The work stoppage began when employees at our Rustenburg mining operations
rejected a wage settlement offer and elected to initiate strike action from the
night shift on 25 August 2009. Other operations such as Mineral Processing,
Refining and Marula Platinum accepted the offer, but later elected to support
the striking miners.
The company has effectively lost 12 production days at its Impala Rustenburg
Operation and 5 days at Marula. With the time required to re-establish steady
state production, the company expects to have lost approximately 50 000 oz of
platinum which is equivalent to a loss in revenue of some R720 million. It is
unlikely that lost production will be made up as all our operations are run on a
continuous basis with little scope to work additional production shifts. The
lower expected production will clearly have a significant impact on our unit
costs for the current reporting period and every effort will be made to
ameliorate this as far as possible.
The company`s wage offer comprises:
1. Wages
10% increase to all A, B & C grade employees in the bargaining unit
(D and E levels to receive no increase)
2. New Minimum Wage
R5 000 for A3 underground employees
3. Medical Subsidy
R300 for the principal member
R200 for the 1st dependant
R120 for all other dependants
4. Transport
A task team will investigate transport issues and come up with proposals to
improve transport options available to our employees.
5. Housing
A task team will investigate alternative funding models to make home
ownership more accessible.
8 September 2009
Johannesburg
Issued by sponsor: Deutsche Securities (SA) (Proprietary) Limited
Date: 08/09/2009 12:54:01 Produced by the JSE SENS Department.
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