Sunday, June 23, 2024

Chambishi Metals become the second Mine to announce Plans to cut Jobs

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Chambeshi Metals
Chambeshi Metals

Chambishi Metals on the Copperbelt Province has asked 30 percent of its work force to go on voluntary separation.

This is barely a few days after Mopani and Kalumbila announced plans to downsize labour due to operational costs.

The Mining firm has since summoned all mine unions for a meeting today to discuss the issue and the voluntary separation package.

Mine Workers Union of Zambia General Secretary, George Mumba says Chambishi has invited all unions for a meeting on Mionday.

Mr Mumba told ZNBC news in Kitwe that the MUZ will issue a comprehensive report on the matter once the meeting is done.

The Core business of Chambishi is in refining copper and cobalt, the majority of which is sourced from the Democratic Republic of Congo.

Meanwhile, Home Affairs Minister Stephen Kampyongo has advised mine owners to engage government instead of trying to arm twist the state whenever reforms in the mining tax regime have been made.

Speaking during the PF media Interactive forum in Lusaka today, Mr. Kampyongo said government will not allow mine owners to threaten laying off workers because of the mining tax regime that government has introduced.

He said if mines want to play it hard, government will have no option but to let them go or stop approving the work permits for their expatriates.

Mr. Kampyongo said it is unfortunate that mines have taken advantage of government by issuing threats with the view of making people rise against the state.

He however called on mine owners to engage government and dialogue than issuing threats of laying off workers.

And Mr. Kampyongo said his ministry will deploy enforcement officers in all the Streets across the country who will be manning and keeping peace during the festival season.

Meanwhile, PF deputy Media Director Anthonio Mwanza said he is saddened by the riotous behaviour of some Copperbelt University Students over delayed student meal allowances.

And Northwestern province minster Nathaniel Mubukwanu says Government will not allow Kalumbila Copper Mine to lay off one thousand workers due to the new mine tax regime.

And Mr. Mubukwanu says it is unfortunate that each time Government intends to adjust mine taxes to benefit ordinary citizens some mining firms opt to cut off labor.

He says government will not sit idle and watch its people retrenched from Kalumbila Copper Mine.

Mr. Mubukwanu says Government has an obligation to ensure people’s jobs are secured in the mining sector

The Minister was speaking to ZNBC news in Kitwe.

He has however urged unions in the mining sector to rally behind the workers that are being threatened with job losses

Mr. Mubukwanu said if Management at Kalumbila mine goes ahead with its plans to lay off its workers, it will be setting a big problem in northwestern province.

Meanwhile Mr. Mubukwanu said Government will quickly hold talks with management at Kalumbila mine over the plight of its workers.

Recently Kalumbila copper mine notified government on its decision to lay off one thousand workers due to the proposed new mining tax regime

30 COMMENTS

  1. This is very sad news to all the workers affected.

    I do not think this is what Lungu meant when he said the PF will create jobs in abundance.

    • All these mines were sold in the 1990’s with evaluation reports produced by one Akainde Ichilema. Look at the type of shoddy investors he brought in? What a crook. He even took his crooked earnings to an offshore account in Panama?
      Tax evader, Privatization thief. Unpatriotic Under 5. All this is because of you.
      Those miners can’t allow you into office.

    • How long are you going to continue blaming HH? How about looking at the rest of the team that was in ZCCM, ZPA and MMD government? Have a look at the list.
      The chief executive of ZPA, Valentine Chitalu, he was also a Director of ZCCM. Mr Willa Mung’omba, a member of the ZCCM Privatisation Negotiating Team, was also Director of ZCCM
      Francis Kaunda, the chairman of the ZCCM negotiating team who was appointed over the heads of the ZPA Members, was also a former chairman and chief executive of ZCCM
      Ronald Penza,Enock Kavindele
      Mr Abel Mukandawire was chairman ZPA.
      Mr Luke Mwananshiku
      Mr Edward Shamutete
      Mr Kaunda Lembalemba – Minister of Mines
      Mr Enoch Kavindele – Minister of Commerce
      Mr R Penza – Minister of Finance
      Mr Lewis Preston – Former president of World Bank

    • Kudos and Sharon, your contributions are deeply rooted in hate and envy for his successes.
      I really feel pity for you. Your hatred, Jealous and bitterness for HH will consume you.
      I pray for you that one day you will find salvation so that love will replace your bitterness and hatred.

    • @1.3. The difference is that the others you have mentioned have kept quiet. Hardly any one hears about Valentine Chitalu. He is quietly enjoying the fruits of privatisation and it is likey the only time we will hear about him is when he has passed on.

  2. Our Government if not already been doing so… should really have seen this and put in provisional shielding measures…

    We do not need to back down, the government should have other plans to work out joint ventures between Zambians and other nations to take over from these vultures who empoverish our people.

    We have other investors awaiting in the wings, let’s troll them in and dislodge these enemies of development.

    The mines if left unchecked will dislodge our government, so let’s dislodge them and do joint ventures with other investors.

    Let us not back down and use our resources to help our people, not to help Norwegians, Americans, Canadians and Australians.

    They call us sh1t hole… when we want to develop to move away from the tag they say we are retrenching.

    Let…

  3. I remember very well a certain Privatization thief sold the mines on the Copperbelt and pocketed $7 million for himself. Imagine selling a mine for $25 million?

    Now look at the state of mines today. These are the results of corruption and undervalued state assets.

    • How long are you going to continue blaming HH? How about looking at the rest of the team that was in ZCCM, ZPA and MMD government? Have a look at the list.
      The chief executive of ZPA, Valentine Chitalu, he was also a Director of ZCCM. Mr Willa Mung’omba, a member of the ZCCM Privatisation Negotiating Team, was also Director of ZCCM
      Francis Kaunda, the chairman of the ZCCM negotiating team who was appointed over the heads of the ZPA Members, was also a former chairman and chief executive of ZCCM
      Ronald Penza,Enock Kavindele
      Mr Abel Mukandawire was chairman ZPA.
      Mr Luke Mwananshiku
      Mr Edward Shamutete
      Mr Kaunda Lembalemba – Minister of Mines
      Mr Enoch Kavindele – Minister of Commerce
      Mr R Penza – Minister of Finance
      Mr Lewis Preston – Former president of World Ban

  4. The mines are playing the game of chicken to see who backs off…it has worked for them..as country we will gain more from tax than job losses but for politicians they see votes!!

  5. It’s GRZ trying to arm twist the mines! You have increased Electricity by 100%. You have increased Fuel. You have introduced extra taxes within a very short time. Nangu ni business, how do businesses survive in this pick-pocketing type of tax regime? To make matters worse, you use our tax money to dress Trees? These are hard business decisions businesses have to make. GRZ should have been humble to sit down with the Chamber of Mines when they presented the budget forecasts indicating the negative impact of the suggested tax hikes! Uncertainty is not good for business! Be predictable with your tax policies! Mines plan long-term and must be assured of a stable investment climate!

  6. Meanwhile, Home Affairs Minister Stephen Kampyongo has advised mine owners to engage government instead of trying to arm twist the state whenever reforms in the mining tax regime have been made.

    You should have engaged the mines in the first place in the mining tax reforms instead of making unilateral decisions. They are simply doing what is best for their companies in order to be viable. PF did not think of the outcome of this decision but only interested in raising money to pay debts most of which have been stolen.

  7. Sadly MINING TAX decisions are mostly done by non-mining experts. EIZ is sleeping – End result mining FISCAL regimes is always reversed due to unforeseen negative impacts. For example why TAX IMPORTED RAW materials for SMELTERS & REFINERY INDUSTRY. 1. Kills JOBS,2 Grows economy of source Countries as they grow own competencies , etc etc.

    No JUNGLE LAW will stop Mining companies shedding off labour or closures. LETS FOCUS ON LOCAL CONTENT, THAT IS WHERE REVENUE IS.

  8. No retreat no surrender. Taxing them means we can service our debt, increase our credit profile and this lead to reduced interest payments on existing debt and bonds. Open up farm blocks for retrenched miners and empower them to diversify to Agric and fish farming. Let’s look forward. Also we should remove their subsidies on electricity and fuel. Why on earth is a poor country subsidizing a large Global profit making multinational?

  9. Most of the time these mining companies play the political game as they bate on support from unpatriotic politicians and disorganised PF,with fear to lose power.We are very far from elections to fear repercussions of job losses,so hear PF should be courageous and just take the mines on! Take over one stupid mine and advertise for partners,the rest will behave.Copper and Cobalt prices will soon skyrocket as electric cars become popular and political uncertainty builds in DRC (though unfortunate)!

  10. It is time for Africa to work in Unison. We do not need these Indians, Chinese or Europeans. The day we as a Continent fight back, is the day the world will learn. Days of them trampling on us are coming to an end. I despise all these cockroaches.

  11. Africa should stand up to these cock-roaches most of them do not like us anyway. I really think next time we should not do business with Indians, some Chinese and crooked Switzerland people. Africa needs to trade within and work on industry and education.

  12. Unemployment will be 60% after this sh!t hole govt run by dander heads and morons is done with run their sh!t hole govt…. yet they promised to create more than 500,000 jobs all the id!ots have managed to do is give black mountain to the youth AKA manning tailings

  13. The government should stop issuing work permits like confetti, only issue them where there is genuine skill shortage. What this does is reduce expenditure on expatriates, in terms of allowances and salaries and may help reduce the costs to the mines. Does the government know the actual expenditure of the mines on expatriates? Lots of expatriates are being trained on the job by Zambians, they get employed based on kith and kin, so its up to the government to stop the issuing of work permits willy nilly, this way you are saving jobs for Zambians and you are also helping save these mines unnecessary expenditure due to the kith and kin practices inherent in some of these mining companies.

  14. Don’t worry. Once lazy meno meno comes back from holiday in Japan he will come and offer the fired miners land for farming.

  15. Just retrench them. Let them go and join their friends called jerabos to go and scavenge on the tailings. That is what they voted for.

  16. Clearly the new mining tax regime is producing unintended consequences.The capitalists are on terra firma and I can bet my steel balls that Government is going to reverse the decision. How embarrassing! But this is what happens when sensitive legislation is made based on knee jerk decisions.

  17. Quite sad news to hear, But good news to those who will volunteer to leave! come on guys don’t worry to go into other ventures retrenchment package is good mwilatina bane…!!

  18. Chambishi Metals are somewhat different although they want to use the new tax regime as an excuse. Before selling the mines CM used get all the cobalt concentrate from other ZCCM mines including Chambishi mine now called NFCA. After privitization other mines started treating their own stuff which forced CM to look to Katanga and each time there’s a problem there CM would lay off workers and then reemploy them when things stabilized. Currently Glencore the major miner of cobalt in Katanga has stopped production of cobalt because China is refusing to buy the cobalt because two reasons 1) The cobalt price has fallen far below the contract price (it’s now selling at $55,000 per tonne) 2)China has excess stocks. If people would care to check they find that most employees at Chambishi have…

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