Statement by the Honourable Minister of Mineral Resources, Adv Ngoako Ramatlhodi, on interventions in the wage impasse

07 Jun 2014

Ladies and gentlemen of the media, thank you for joining us this morning.

When I was sworn in as Minister of Mineral Resources on the 26th May 2014, it was clear to me that my first priority in this portfolio would be to end the protracted strike in the North West Platinum belt.

Much as it is not the Department's role to intervene in a labour dispute between employers and employees - South Africa has strong, credible institutions to carry out that task - it became necessary, as a last resort, for myself as the Minister of Mineral Resources to step in. We have always maintained that the work I have been spearheading does not replace other forums and institutions in place to resolve labour disputes.

It is impossible to focus on other critical issues in the portfolio without addressing this strike first. South Africa needs a sustainable mining industry, and we place that at risk if we do not resolve this matter once and for all. Once we can move beyond this strike, we can free ourselves to focus on other critical issues ailing this industry, one of the most important of which is radical transformation.

In an effort to resolve the matter, I immediately convened the parties to the dispute - labour union Amcu, and mining companies Lonmin, Anglo Platinum and Impala Platinum. I would like to at the outset convey my sincere appreciation to the leadership of all parties. They have shown commendable dedication and commitment to this task, and I am grateful for the time they have devoted to this matter.

I met with each of the parties individually, and then subsequently agreed to establish a technical team to assist in the matter.

The technical team convened over two days at an undisclosed location last week, and comprised, amongst others, officials from National Treasury, the departments of Mineral Resources, Labour and Health, along with technical teams from Amcu and the mining companies. The sole purpose was to find solutions to the impasse.

The technical team presented a proposal, which both parties agreed to take back to their respective constituencies. Meetings have been continuing on a daily basis until yesterday.

Monday 9th June will be our last meeting with all parties. I am making a humble appeal to all the parties involved to assist us to move this process forward. We cannot continue to meet indefinitely. At some point, we must find an implementable solution. We have seen how much the workers are suffering. They have gone approximately five months without pay, and have in effect been reduced to beggars. The situation is untenable. The companies are also under pressure. The economy is suffering - the latest GDP figures attest to that. We therefore have no option but to find a sustainable solution.

It is in the interests of the workers, the companies, and the South African economy that we find a lasting solution to this challenge, and I am confident that all the parties involved will not fail our country.

I thank you.

Statement issued by the Department of Mineral Resources, June 7 2014

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