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Friday, 12/08/2006 8:12:17 PM

Friday, December 08, 2006 8:12:17 PM

Post# of 1965
Came up on my Google Alert

chevy56



NEWS BY SECTOR
NUM takes action for better working conditions at Primrose gold mine
December 8, 2006

By Justin Brown

Johannesburg - The National Union Mineworkers (NUM) said yesterday it had uncovered atrocious conditions at the Primrose gold mine on the East Rand and that its 600 workers had embarked on a strike demanding improved conditions of employment.

Managing director Keith Hart said he had no comment to make on the issue.

The mine, situated near Germiston, is owned by Centurion Gold Holdings.

Centurion Gold Holdings shares trade over the counter on the Nasdaq in the US but the company is not listed on the JSE.

NUM spokesperson Mike Fafuli said the strike started early on Wednesday morning.

Fafuli said that during a recent visit, NUM had discovered that Primrose mine management was employing illegal immigrants.

"These employees do not have passports or any form of travel documents. Essentially, they are employed without any form of identity document.

"They work underground without proper clothing, far below the required minimum safety standards," Fafuli said.

The minimum salary at the Primrose mine was R700 a month for underground work, compared to about R2 000 a month for the rest of the gold mining industry.

Fafuli said the highest paid mineworker, a team leader, was getting R1 300 a month.


"These workers do not have some of the usual benefits earned by their counterparts in other mining houses," he added.

Workers at the mine were demanding a salary of R2 000 from the current R1 000 a month.

The workers were also demanding a ration allowance, as there is none at present; a travel allowance; a living-out allowance as well as an increase in leave days from 18 a to 24 a year.

Management at the mine did not recognise NUM and was not prepared to negotiate with it, Fafuli said.

Management was seeking to evict workers from the mine hostels.

"In pushing for this eviction, management has cut water and electricity supplies, a move the union views as barbaric," Fafuli said.

NUM said it would be challenging the evictions in the high court today.

In the year to March 2005, Centurion Gold Holdings generated revenue of $2.4 million (R17 million) and a gross loss of $3 million.

In the year to March 2004, revenue was $75 million and the company posted a gross loss of $186 million.

The company bought the privately held Primrose gold mine from Glencairn gold mine in 2004.




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