Sunday, August 22, 2010

‘Govt dissatisfied with KCM’s excessive outsourcing’

‘Govt dissatisfied with KCM’s excessive outsourcing’
By Kombe Chimpinde
Sun 22 Aug. 2010, 04:40 CAT

A highly placed source in the Ministry of Mines has disclosed that government has expressed dissatisfaction over Konkola Copper Mine's excessive outsourcing of operations a concern also raised by the National Union of Mine Workers (NUMW) and Mine Union of Zambia (MUZ).

The source disclosed that the labour ministry has since summoned KCM to present its data concerning the number and nature of the businesses and operations that KCM is outsourcing.

This week the MUZ announced its intensions to stage a demonstration on Monday to protest over the matter.

KCM has however justified it’s reasons for outsourcesing, stressing that it lessened some of the costs it was incurring afrom undertaking much projects internally.

In a meeting held this week between the labor minister, KCM management and mine workers unions, government expressed its satisfaction on the operations of the mine and asked KCM to present all the records comprising stock of its operations so that government would advise which ones were or not necessary.

“The mines ministry is not happy. They want to see a situation were outsourcing is done away with in cases were it is not necessary. Resolutions to the meeting held this week could not be made because KCM did not have data concerning there operations that they subjected to outsourcing which the minister could refer to,” he said.

“What they want now is the specific projects they are sourcing, the type of jobs and the number of people on the project so that they can asses the relevance.

“..for example how can the Ministry of Home Affairs give a work permit to someone at the age of 70 who is also in their retirement stage, also how can they give a work permit to someone who has come to take up a clerical job which a Zambian can do.”

The mines minster has also blamed such occurrences on failed coordination between between the Ministry of Labor and Social Security and Ministry of Home Affairs over the issuance of work permits.

He explained that outsourcing was a common in mining operations although the danger was making some of this outsourcing permanent as it inhibits and defeats the concept of Zambianisation.

“ MUZ's concern was justifiable because they are also worried about losing membership and the welfare of the mine workers,”said the source.

The meeting was attended by deputy Minister of Mines and Minerals Development, Minister of Labour and Social Security and an official from International Labour Organisation.

The Konkola Copper Mines run by Vedanta also operates the Numpundwe Mines, Nkana Smelter, Chingola’s Nchanga Division and Konkola Division in Chililabombwe.

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