A Sibanye Stillwater mine in Rustenburg. Picture: Sibanye-Stillwater
Mining giant Sibanye-Stillwater announced the conclusion of its latest retrenchment process.
The culling of 2 000 jobs is a result of the restructuring of its gold operations and services functions in Sibanye’s South African region.
However, the company did find a way to save almost 2 000 jobs, after indicating in April that roughly
4 000 jobs were on the chopping block.
The bulk of the employees being released will be contractors, with 1 130 being affected.
Retirements or death accounted for 116 of the positions, 629 employees accepted voluntary separation packages and 448 employees accepted transfers.
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The number of employees retrenched due to operational limitations accounted for 111 positions.
However, Sibanye has given the affected shaft, Beatrix 1 Shaft located roughly 40km south of Welkom, three months to prove its profitability.
Unless the shaft shows no average net losses across the next three months, it could still be closed.
“We have restructured the SA region to align with the reduced operating footprint following the necessary operational restructuring for greater regional sustainability and profitability and we are well positioned for ongoing shared value delivery,” stated Sibanye-Stillwater CEO Neal Froneman.
The South African Federation of Trade Unions (Saftu) expressed its dissatisfaction with the retrenchments.
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The union said the process placed profitability over its social responsibility of job preservation and employment creation.
“This capitalistic logic has led Sibanye-Stillwater and other firms to disrupt the livelihood of thousands of mineworkers through retrenchments callously,” stated Saftu general-secretary Zwelinzima Vavi.
“With each retrenchment, the burden on the unemployed grows heavier, exacerbating the challenges faced by those striving to support their families amid economic uncertainty,” he added.
Sibanye stated that its staff numbers have dropped from roughly 81 500 to 70 000 since the entity’s downsizing began in January 2023.
In that time, five operations that had reached expiry date have been closed and three loss-making shafts, including Beatrix 1, have been restructured.
“We acknowledge and thank all stakeholders for their constructive engagement during this difficult period,” concluded Froneman.
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