KCM degrading employment through sub-contracting - MUZ
KCM degrading employment through sub-contracting - MUZBy Chiwoyu Sinyangwe
Thu 05 Aug. 2010, 23:10 CAT
THE Mine Workers Union of Zambia (MUZ) has maintained that Konkola Copper Mines (KCM)’s shift to focus on sub-contracting its operation is aimed at degrading employment conditions and weakening the union movement.
KCM has out-sourced most of its operations with Nchanga Open Pit Mine being 80 per cent operated by sub-contractors while 50 per cent of operations of Nchanga concentrator is also under sub-contractors.
The move has angered MUZ whose president Rayford Mbulu last week said the workers were unhappy that KCM had continued to outsource labour and its major operations.
In defence of the move, KCM spokesperson Rahul Kharkar yesterday stated that the objectives of sub-contracting (out-sourcing) were to increase efficiency, reduce costs and improve recoveries at the plant and the move was not designed to result in job losses.
Kharkar stated that owing to sub-contracting, KCM, majority owned by Vedanta Resources Plc, had managed to extend by more than 10 years the lifespan of Nchanga Open Pit Mine, which had been under threat for closure since 1990.
Among the 43 companies contracted by KCM in its entire operations included U&M of Brazil and Moolmans of South Africa, operating almost the entire open pit mine operations.
But in an interview yesterday, Mbulu said MUZ opposed outsourcing because it had a lot of negative implications on the workers’ welfare. Mbulu said it was difficult for MUZ to operate at KCM due to the fragmentation of collective agreements.
“Out-sourcing has a lot of implications as it takes away permanent and pensionable employment from the workers, Mbulu said. “Short tenure employment depends on renewal of contracts and that means there is no longer job security.”
He said the move was meant to kill the union movement at the country’s largest mining units.
“They are talking about 34 different companies that are to be sub-contracted and you can imagine this kind of arrangement because it means we have to enter into recognition agreement with all the 34 companies,” he said. “So, there will be all these complexities and will eventually weaken the union because it can only be strong if the workers are organised.”
Mbulu said KCM could still remain efficient and cut operational costs without sacrificing its Zambian employees and promoting foreign expatriates.
Mbulu advised KCM to upgrade its obsolete equipment, cut down on the number of expatriates and electricity consumption as a way to achieve efficiency
“Mopani Copper Mines which is run by a Zambian CEO [chief executive officer is one of the best run mines,” said Mbulu.
“It won’t help KCM by spending so much money bringing in expatriates who are being employed for their skin pigmentation rather than skills. So there are other redundancies KCM can cut down on rather than the labour component.”
posted by MrK @ 8:20 PM
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