The Zambia Congress of Trade Unions (ZCTU) has commended government for blocking Konkola Copper Mines’ (KCM) plans to dismiss 2000 workers in the Copperbelt.
KCM last week announced its intention to lay off 2,000 from its current 8,263 workforce citing falling copper prices in the last one year and macroeconomic trends suggesting that the commodity will remain depressed.
Government has since opposed the decision and engaged the mining company over the matter.
In a statement issued to ZANIS in Lusaka today, ZCTU Secretary General Roy Mwaba says it was unacceptable for KCM to retrench 2000 workers when government is working hard to create jobs for Zambians.
Mr Mwaba said the union is happy that government has acted quickly to block the mining company’s plans because the move would throw thousands of families into poverty and misery.
Mr Mwaba said ZCTU was comforted by government’s stance that no miner would lose employment at the mine.
He said the union supports efforts being made to promote dialogue among the KCM management, trade unions, government and other stakeholders to ensure that KCM’s plans do not go forward.
The ZCTU Secretary General advised KCM to centre its efforts on improving infrastructure on the Copperbelt instead of announcing plans to lay off workers.
“We are highly suspicious that despite all the reasons KCM is giving over the company’s intention to retrench 2000, the company simply wants to send a message to government to register its protest over the recent increase in fuel prices and impending electricity tariffs hike by ZESCO,” he said.
He affirmed that the union will never support any moves by any company to lay off workers thereby worsening the already high levels of unemployment in the country.
ZANIS
The mines should never have been put into foreign hands in the first place. And you all thought colonialism was over.
@ Nubian Princess Today,i agree with you Nubian Princess. Some of the mining firms in the country are the same firms that were mining in the early days of discovery, in the 1910’s, when they treated our forefathers working on the mines appallingly. They have no sentiment for the development of our Country, and there simply to finish off our resources, ship them off to other countries, and bank or store wealth generated from Zambia, outside Africa. We need more balls..we need to take over these firms. Do it ourself, all over Africa. Its the only way we ll truly make progress.
These argument is not a good one.What if this is the only way KCM can sustain its operations ? I would rather have a situation where 2000 workers are laid of and save the 6000 remaining ones ,than keep all the workers and risk running the whole company to the ground.KCM is just doing this to stay afloat . Government and the union shouldn`t force the company to keep the workers who are not helping it to survive economically.
*This argument*
@ Zebige, what has happened bro ? You are usually a great contributor! I work for the mines. I tell you, there is GREED by our so-called investors..!!!!! The arguments they are putting across are simply FALSEHOODS! Its all about KCM helping itself to huge PROFITS at the expense of their poor workers/ miners..!!
@HONESTLY sorry bro if i touched on a sensitive nerve.I`m happy to hear that side of the story.It is my hope and prayer that something positive will come out of this, otherwise KCM plays a big role in our economy.I wouldn`t either love to see them pack their bags or see people losing jobs.We saw it happen with Anglo-American, i hope it won`t lead to that this time around.Fingers crossed bro.Aluta continua !!!
Thanks you two for debating with maturity. I hope the rest can be like you.
So how is the govt blocking KCM? Isn’t the govt just calling for negotiations. I believe the govt cannot compel any employer be it a foreigner or local to keep employees just for the sake of it,if the employer starts making losses they should do what they feel is necessary in order to survive as a company if govt is not cushioning the losses.
Where is the money that miners were suppozd 2 b paid after anglo american exited the mines?
This is corporate poker at its very best and the gov’t fell for it hook, line and sinker.
They should. Start by reducing the 603 expatriates that are in kcm. Who gives them permits
It pains me, why should the GOVERNMENT TOLERATE THE HUGE NUMBER OF SO-CALLED ‘EXPATRIATES’ WORKING AT KCM??????! In one word, THIS IS RUBBISH!! This is one thing that has largely contributed to unemployment. IT HAS TO STOP!
As the government vigorously fights to create employment, it has to consider the negative consequences of having large groups of FOREIGNERS TAKING OVER OUR JOBS all in the name of ‘EXPATRIATES’. These chaps are ACTUALLY DOING THE VERY JOBS WHICH MOST ZAMBIAN ARE ABLE TO DO EVEN BETTER IN MOST CASES!!! Government needs to rethink on this one!
kcm through its management acountant wil just present the cost of production schedule to mr lice infested beard labour minister and then after you wil just see queues of copala swags receiving their terminal benefits.kwasila!
zebige ar u a zambian or mwenye
Ha ha ha.I`m a Zambian ,but i`m just telling it like it is.
Let us have a one week national conference on how to handle the mines. You will be shocked with the progressive ideas that we are ready to share. This is not abt scaring the scared investors. Infact, KCM should be challenged to handover the mines. For the first since PF came to power, the PFOST have written something sensible today intheir editorial on the mines…
Keep it up PF Govt, this Indians wants to take us for a ride. They bought the mine at a give away price batampa nokutumpa ba kabwa, They should all Indians to bombay before pruning our brothers, if they have failed to run the mine then they should surrender it back to the Govt.
The Govt should also visit and probe Lumwana, there are too many Australians and now they want to prune Zambians as well, we have people like Collins Hodgeson, Alturs( Collins and and Alturs are even running a company called MMS) Mark Tink, Murray Cooper, Bradley Bell, Andrew Nugget, this people have overstayed. The Process Manager is a racist who dont think of zambians, he thinks he is a supreme leader. Please FF govt do something.
Keep it up PF Govt, this Indians wants to take us for a ride. They bought the mine at a give away price batampa nokutumpa ba kabwa, They should all Indians to bombay before pruning our brothers, if they have failed to run the mine then they should surrender it back to the Govt.
The Govt should also visit and probe Lumwana, there are too many Australians and now they want to prune Zambians as well, we have people like Collins Hodgeson, Alturs( Collins and and Alturs are even running a company called MMS) Mark Tink, Murray Cooper, Bradley Bell, Andrew Nugget, this people have overstayed. The Process Manager is a racist who dont think of zambians, he thinks he is a supreme leade,he thiks he is the only intelligent man. Please FF govt do something.
This is what happens in a capitalist state dear.If the government says it has removed the subsides to save for roads and schools,even KCM wants to prune to save for future expansion.The president said let us sacrifice and then you stop them.This is why the government is digging its grave.Bwana this is what happens in direct economy.Take my word whether you like it or not not less than 1500 workers will lose jobs.Well done PF.
May my people of North-western be on look out as all these people will be dumped in the province.
For chief Musele kindly ensure that your local people are given priorities in kalumbila Mine as Chief Mumena and Kambijipanga have dissappited us.
Is blocking the best government can do? Find solid solutions, not this day dreaming of yours. You don’t have to be caught unaware al the time .
Vedanta Resources Plc (owners of KCM) is pulling the wool over gov’ts eyes as they are not shrewd enough to relies this hence the panic, why don’t they play the same games in other mining operations like Australia if this is really about falling copper prices. How is it that First Quantum Minerals Ltd (FQM) who are heavily dependent on mines in Africa, particularly in Zambia are not making as much noise instead are focused on acquiring of fellow Canadian miner Inmet Mining Corporation via $5 billion hostile bid. Why Inmet? To control Inmet’s prized Cobre Panama project – the $6.2 billion project that has the world’s largest undeveloped copper deposits.
Ignorance is expensive. KCM runs an underground mine. First Quantum open pit… cost are almost 40% lower in openpit mining.
Stick to what you know
Thank you very much for that TheEngineer(Australia).
Have a nice day.
the government needs to assure KCM about the future just like everyone is increasing their prices. KCM is trying to lay off workers to keep costs down
blocking the lay off is just a temporary solution and it might force the company to
shut down
KCM just wants to continue getting cheap electricity this is corporate poker gov’t should have called their bluff but they panicked….moreover we will get more money from KCM paying full tariffs to ZESCO.
What a useless Sec Gen popping up from the wood work to praise govt, what are his comments on the Fuel Subsidies???? ZCTU nowadays is like a dept of govt!!!
Gentlemen please! This is the ugly face of capitalism,and that’s to shape up or ship out. Government has led the way by removing the subsidies “for a better tomorrow”, they claim. Millions will go hungry as a result. Government is an entity and so is KCM. For them its stay afloat or stay bloated! Subsidize by 2000 or un subsidize. What’s good for the goose is good for the gander. What’s good for Government is good for KCM. These are what they call ripple effects or consequences. High fuel prices, high unemployment levels. Isn’t it for a better tomorrow? More to come Gentlemen. Please!
This is exactly what KCM wants to make you believe as they benefit more from those subsidies at our expense whilst raking in the hefty profits…what is it with this docility can’t you not see beyond the end of your nose? In peak times they oppose introduction of windfall tax and cite cost of production and in bleak times they threaten to scale back.They will never be a good time to get a good deal from them and they sure don’t care about us if copper ran out today they would up and go without blinking an eyelid.
Wake up people!!
Your analysis lacks base. You are analysing like a man who has not known that KCM has been making great profits. Even the removal of the fuel subsidy has no tangible effect on their operations. The guys just dont care for Zambians period.
that is why we should have cashed in when the price of copper was high/good via windfall tax… when prices go up we loose, when they go down the same thing happens-pathetic
Satanomics won’t work by blocking companies decisions based on their well researched and world commodity market trends vis-as-ve production overheads in running the companies. Investors have strategies that operate freely without government interferance but within the laws of the land or enabling environment.
To impose a block or arm twist investors to suit PF cadre demands, is sending wrong signals in attracting investments in the country. PF govt should admit to level the playing field for both local and foreign investors.
Its a good move indeed. These guys they make a lot of profits but coz of greed they want to subject Zambians to mental torture. I applaud the govnt on this one.
Peace and Prosperity to Mother Zambia.
KCM is just playing games.I hope dunderhead economists7000 price copper price,it’s either you have to be dull or a dunderhead to think copper price has fallen.KCM simply has to get rid of that guy from a soap making company who is earning more more money or end up like Enron where the CFO committed suicide after he was discovered that he is a fcking fraud! know who the CFO for KCM is!Recruited from uniliver,a soap making company!He still thinks is making soap.To make copper you have to invest money!What copper price has fallen?More than
Zebige.
You don’t know what you are talking about. Are you saying it’s only kCM selling their Copper at 7000 $/Tonne? Mopani, Kansanshi and Lumwana all sale the Copper atthe same price. kCM even recovers Cobalt which it gets from Lumwana concentrate for free and the cost of production at their smelter is negative (less than 0, if Zebige understands this at all).
Iam a mining and metals expat with over 16 years experience.
So Zebige, maybe you an one of those uneducated Mwenyez around!