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Amcu warns of industrial action at Implats over job cuts

If talks with Implats over planned job cuts fail.

Amcu will embark on unspecified industrial action at Impala Platinum if talks with the company over its plans to cut a third of its workforce fail to stem the lay-offs, the union’s president said on Tuesday.

Joseph Mathunjwa, who in the past has led crippling strikes in the platinum sector, was speaking to journalists about Implats’ announcement last week about a blueprint to cut over 13 000 jobs at its Rustenburg operations as it seeks to restore profits.

“We will hit where it hurts,” Mathunjwa said.

Read: Implats to slash 13 400 jobs as costs bite 

The Association of Mineworkers and Construction Union (Amcu) was renowned in the past for its militancy but it has mellowed in recent years and it is unclear what appetite there would be for a strike among its rank and file.

Implats’ flagship Rustenburg mine west of Johannesburg is a labour-intensive, conventional operation and most of those are losing money in South Africa in the face of soaring costs and depressed prices for platinum.

Most mechanised platinum mines are making money but that is not an option at Rustenburg because of geological constraints. 

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Maybe someone should teach the AMCU about the basic concept of positive feedback. The more militant and obstructionist they get, the fewer jobs there will be which will lead to more militancy which will lead to shaft closures and fewer jobs. And so on…

The longer they strike, the less platinum is produced which will probably increase profits?
Worth a try.
Unless hitting where it hurts implies destroying the mine infrastructure – then its tickets.

“It cannot be stressed enough that the coercion which unions have been permitted to exercise contrary to all principles of freedom under the law is primarily the coercion of fellow workers. Whatever true coercive power unions may be able to wield over employers is a consequence of this primary power of coercing other workers.” – F.A. Hayek

Reminds me of the unions and the auto industry in Australia. Or the farmer who taught his cattle to get along without feed. The day all the cows learned how, they died.

Government deliberately let the unions run loose and they have created a monster that is holding this country to ransom. Would they prefer the company to go under?

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