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Alba Iulia
Sunday, May 22, 2022

KCM announces intentions to cut down the total number of employees by 2,000 from the current 8,263.

Economy KCM announces intentions to cut down the total number of employees by...

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KONKOLA Copper Mines (KCM) has announced its intentions to cut down the total number of employees by 2,000 from the current 8,263.

But government yesterday engaged the mining firm over its decision saying it would have a bigger impact on the affected workers.

Labour Deputy Minister Rayford Mbulu has since appealed to all stakeholders to remain calm while a lasting and permanent solution to the problem was being sought.

Mr Mbulu said last evening at a press briefing in his office that his office held a tripartite meeting with KCM management and mine unions as part of consultations and engagement to mitigate the impact of staff outplacement.

He said consultations into the issue would continue on Wednesday next week and that all parties agreed that no further statements would be issued until after the conclusion of the ongoing consultations.

Mr Mbulu said “I would like to inform the nation that I have had a fruitful meeting with KCM management and the unions which was convened this afternoon.

“In the interim it is my request that all stakeholders remain calm as we seek to find a permanent solution on the issue at hand.”

KCM has disclosed that the price of copper on the world market has been steadily declining – by 22 per cent in the last year – and macro-economic trends suggested it would remain depressed as such it would be forced to cut on its workforce.

“At the same time, our two key costs – labour and electricity – have been increasing constantly and substantially” KCM Public Relations Manager Joy Sata said.

Ms Sata said that KCM would make every effort to assist redundant staff find new jobs, both on individual or collective basis to increase economic opportunities in the Copperbelt region and around its facilities.

She however said that workers would for now continue working until the issue was resolved amicably with government and other stakeholders.

15 COMMENTS

  1. Iye ! This is very sad.I can even imagine the panicking in the workers.Am sure everyone is wondering whether he or she will be hit in the axe.

    • no. it is good. they imagined more money in the pockets under PF. bufi! now let them join us the jobless. welcome to the club.

  2. Copper prices declining again? history repeating itself

    I wonder why our governments fail to learn even from the biblical principles of Joseph in Egypt. In every economy there are years of plenty and years of scarcity. What wise governments do is to SAVE and invest wisely during the years of plenty to cushion the effects of the years of scarcity

    But in Zambia during the years of plenty you hold the most expensive election campaigns in Africa, bye elections, acquire expensive vehicles, increase elites salaries etc. So when the brook start drying you begin begging the mines not to lay-off workers which is a common reaction at such times

    My Zambia my Country

  3. they are simply removing the subsidy on employment, just like what GRZ did, they can not continue subsidying salaries by paying people who are not adding value to the goals of the company

  4. SI number 32 and number 35…, they are not happy to start keeping money in the banks. Don’t be cheated..!

  5. 2000 only. They can be absorbed into the soon to be announced new districts as District Commissioners. There are also plans afoot to create new positions of Deputy District Commissioners , District Political Secretaries and Deputy District Political Secretaries!

  6. The worst is yet to come. The commodity super cycle may be coming to end. For Zambia, a substantial decline in copper prices will spell disaster with a capital D. Our older mines are among the highest cost producers in the world and will become financially unsustainable…closures and mass redundancies will be inevitable!

  7. As usual it will be the Zambian workers to face the axe whilst the Indians will be retained despite them being paid 10 times the salary of the average Zambian worker.

  8. Reason of drop in copper price can not hold water……the yard stick which was used to buy KCM in year 2000 was based on the copper price at that time which sky rocketed over the years…consequently they pegged their profit chunk at 800% of the original figure. Two choices ….. either to chop their profit fat or chop off labour cost and the decision is in the hands of KCM. Your guess is as good as mine. Another angle culd b that the Govt is in gear of hard decision making…removal of subsidies…next may be demanding the dreaded tax from the mines…the pending redundancy is to block govt from announcing and implementing the measure…..

  9. very good. let those PF supporters who imagined a heavenly life under Sata feel the heat. can you feel it already?

  10. This is not strange more will be following them soon especially the ones on “causal” contracts….as the copper price is low at the moment and Chinese manufacturing has slowed down.

  11. THIS IS THE MAN OF ACTION. IT IS A VERY GOOD MOVE. CHOP CHOP THEM FROM WORK. THIS IS WHAT WE VOTED FOR. HE IS JUST DOING HIS MANDATE. NO ONE SHOULD COMPLAIN. IT IS OUR CHOICE WE SHOULD LIVE WITH IT. YOU BASHI MINE YOU ARE USEFUL *****S. HAVE YOU SEEN THAT YOU DONT THINK.? YOU USE YOU HELMET TO THINK INSTEAD OF YOUR BRAINS. USEFUL *****S. NEXT TIME WAKE UP IF AT ALL YOU WILL HAVE NEXT TIME.

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