Maravi

Albidon dismisses job loss reports

Albidon dismisses job loss reports
Written by Chiwoyu Sinyangwe
Wednesday, December 17, 2008 6:04:50 AM

ALBIDON Zambia Limited has dismissed media reports that job losses at the company’s Munali Nickel Project have risen from 53 as announced last week to 110.

Albidon Zambia Limited general manager Grant Pierce insisted the number of employees to be laid off in the restructuring process at the country’s sole nickel mine project following a 60 per cent drop in nickel prices in the last nine months was 53, as earlier reported.

Pierce, however, admitted that the exploration office in Cape Town and the office in Lusaka had been closed.

“I don’t know where the Bloomberg journalist got his information but it is incorrect. The number of employees was 53, as correctly reported in The Post last Tuesday. The exploration office in Cape Town and our office in Lusaka have been closed,” said Pierce.

Earlier this week, Bloomberg News reported that the Australian metals explorer cut 110 of its 260 workforce at its Munali Nickel Mine in Zambia after prices of the metal used in steelmaking slumped.

In a report citing information purportedly obtained from a statement Albidon sent to the Australian Stock Exchange, Bloomberg stated that the exploration office in Cape Town and Lusaka corporate office had been closed, while its Perth office is relocating to shared premises and that most exploration projects had been suspended.

Last week, Pierce told The Post that it was inevitable for the 100 per cent owned Albidon Mine of Australia to trim down its workforce to respond to the declining nickel prices.

Pierce stated that as much as the company regrets this turn of events, metal prices were beyond the company's control and rationalisation was inevitable if Albidon was to continue its operations at Munali for the benefit of all stakeholders.

Pierce stated that the company acted in accordance with Zambia’s labour laws.

Labels: ALBIDON, JOBLOSSES

posted by MrK @ 6:04 AM