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Harmony Gold Retreats from Job Retrenchments in Free State, SA

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26 July, 2005

Harmony Gold retreated from its illegal retrenchments in the Free State before a South African mediation commission. ICEM affiliate NUM pressed the matter on the legal front, effectively gaining a significant social rights judgment from the courts in the face of Harmony’s current hostile takeover of bigger rival, Gold Fields.

The company had unilaterally abrogated a prior agreement and commitment by sacking 5,000 miners in a restructuring move. A court ruling and Harmony’s retreat now means the jobs of the 5,000 are secured.

Meeting in Midrand on 12-14 May, the NUM’s Central Committee harshly criticized Harmony along with DRDGold, IngweCoal and DeBeers for job destruction inside South Africa. In related gold mining news, the NUM said a safety rep for the union had raised structural questions in mid-April about the Driefontein Mine of Gold Fields. The report cited the company with using temporary support structures in one portion of the mine while it was being operated. On 11 May, an earth tremor shook the mine, killing five and injuring three.