Monday, December 21, 2009

MUZ cautions Maamba mine over retrenchments

MUZ cautions Maamba mine over retrenchments
By Chiwoyu Sinyangwe
Mon 21 Dec. 2009, 04:00 CAT

THERE will be no justification for new owners of Maamba Collieries Limited (MCL) to lay off any workers, Mine Workers Union of Zambia (MUZ) secretary general Oswell Munyenyembe has said.

And Ashok Devineni, chairman of Nava Bharat said new owners of MCL have no intentions to retrench any workers but said the Singaporean company will have to evaluate the skills ability of the workers to cope with new developments at the coal mine.

Nava Bharat, the diversified Singaporean investment company which now holds 65 per cent shareholding in MCL, plans to pump about US $550 million in revamping operations of the country’s biggest coal mine and simultaneously build a 300 megawatts thermal power station in the next three years.

Commenting on the development which is likely to give life to struggling Maamba miners who sometimes have been subjected to three months without pay, Munyenyembe said MUZ expected Nava Bharat to employ more workers in view of the increased business activities.

Munyenyembe said MUZ welcomed the government’s decision to sale MCL.

“Our appeal to the new investors is that they should come and respect the laws of this country,” Munyenyembe said. “Yes they are bringing in money and we are providing labour.”

He also thanked the workers at the mine for the patience exhibited during the time when the firm was closed.

Munyenyembe appealed to Nava Bharat to be open to its workers and disclose to them what was in the agreement.

“…They are opening up the thermal plant and we need more workers…so we see no justification for the issue of retrenchment and today we are saying…people who are put on separation should be paid all their terminal benefits,” said Munyenyembe.

And Devineni said Nava Bharat had no intentions of retrenching any of the MCL workers.

“We would first of all analyse the skill services available there (at MCL) and put a lot of those who do not find place in the current work atmosphere in a training programme,” Devineni said. “But there is no plan as such to retrench any body.”

Devineni said Nava Bharat was known for corporate governance and corporate social responsibility, management protection and cordial industrial relations at all its operating units.

“We wish to emulate similar corporate philosophy and value systems in Zambia too,” said Devineni. “…This is the beginning of our journey in Zambia and we hope to play an important role in the development of Zambian economy.”

Maamba mine aims to reach maximum output capacity of two million tonnes of coal per year in the long term. It has 78 million tonnes of known coal reserves expected to last over 70 years and it produced 600,000 tonnes coal during peak production in the 1980s.

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