South Africa’s mining industry to sign jobs pact – govt
The country's mining ministry hopes to clinch a deal with mining companies and trade unions next week aimed at saving jobs.
The country's mining ministry hopes to clinch a deal with mining companies and trade unions next week aimed at saving jobs.
Prices of the metal have been fallen in the second half of this year as the prospect of a rate rise, the first since 2006, would lift the opportunity cost of holding bullion.
The cuts represent 14% of what was once a 4,300 workforce.
“It is a pretty tough market,” said Chief Executive Mark Cutifani, “and in all likelihood the next six months are going to be even tougher.”
It had said in January that the closure of its Optimum coal mines would put over 1,000 jobs at risk.
The metal cut some losses on Thursday, rebounding slightly from a 3-1/2 month low after data showed the U.S. labour market to be weaker than expected in June.
The cuts at the Adelaide support office for the Olympic Dam operations come about six months after BHP scrapped about 90 permanent positions and 210 contractor jobs.
Anglo American’s platinum unit cited dark outlook for the sector as main reason for the cuts.
Mining and logging was the big exception in Friday's payroll numbers with 18,000 jobs lost in May, the worst month since the global financial crisis.