CONCRETE evidence that the economic downturn has hit Richards Bay hard has been given further momentum with the announcement by Lafarge that the company has closed its Alton grinding plant.
The closure is deemed ‘temporary’, relating to ‘operational requirements’.
‘The decision was based on a variety of factors, including the high cost of importing raw materials owing to the rand/dollar exchange fluctuation,’ said Nompilo Morafo – Country Head: Corporate Affairs, Communications & Sustainable Development.
‘Imports into the area also posed challenges in keeping the grinding station viable.
‘The closure is temporary and will be evaluated in due course.’
Morafo said there would no longer be a presence or office in Richards Bay, but Lafarge South Africa will continue to supply clients in the area in certain bulk segments.
‘Communication with both our employees and customers is of utmost importance.
‘Therefore, we ensured that both were kept abreast of the changes and engaged with regards to the option available to them.
‘We have concluded the engagement process with the affected employees.
‘The majority of the employees were allocated to other Lafarge sites around the country.
‘However, some employees have opted to take voluntary packages.’
Morafo did not state how many employees were affected by the closure.
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