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Alba Iulia
Friday, August 14, 2020

Unions urge Government to stand firm and not back down on the new taxes in the mining sector

Economy Unions urge Government to stand firm and not back down on...

Mine workers in one of the Zambian Mines on the Copper belt
Mine workers in one of the Zambian Mines on the Copper belt

Unions in the mining sector have urged government to stand firm and not back down on the new taxes in the mining sector.

The Mine Workers Union of Zambia says mining companies that do not want to pay the new taxes must go to countries where they will not pay taxes.

MUZ President Joseph Chewe says no country in the world can allow mining companies to operate without paying taxes.

He says copper prices at the moment are favorable for mining companies to sustain their operations.

And the Association of Mine Suppliers and Contractors says the mines’ agenda to undermine the will of Zambians on its resources is unjustifiable and will not be tolerated.

Association President Augustine Mubanga says Zambians will not sit back and watch its resources being mutilated because every mining company has an obligation to pay taxes.

The two were speaking at a joint media briefing in Kitwe this morning.

They were reacting to reports by First Quantum Minerals and Konkola Copper mines who have indicated that they want to down size the workforce and halt operations as a result of the newly introduced taxes by government in the 2019 national budget.


    • Government has unflinching support of its people. No curving in to these old tricks of twisting the Government in the name of job loses. If this is their exit strategy or the deadlock points to shutting down of these mines, so be it. Enough is enough. We have been exploited for way too long paying a high price for opening up to liberalism that has freely transferred wealth in our natural resources to these con-artists leaving us poorer with with dust and a litany of diseases from despoiled ecosystems. We see a soaring worldwide demand for our minerals used in driving Global growth, why shouldn’t we benefit?. Time to tax the output now to contribute to national growth and diversification programs.

    • Had anyone ever asked what will change if more tax is paid? So that more perks are given to Lungu and is gang of thieves? Will anything change at UTH? The question is how is current tax collection used?

  1. We have our backs against the wall on this one, We support our leaders. In similar battle, though, we need to up our fight against corruption in all its forms to stop misappropriation of this tax revenue we are putting our jobs on line for.

    • Indeed. My main concern is where the tax revenue generated will end up. We will hear of odd expenses and as usual the auditor general will have no teeth.

  2. FQM IS trying too pull the country down.if they insit let them go.if the goverment surrender to this it will be a disapointment to the zambian citizenly.its time for government through zccm-IH To Increase Its Shares So That It Can Have Control In These Mines.

    • Do you have a smart way of how government can increase its shares? These companies would be more than happy to sale the shares to you. Hope you have heard of what’s called ‘market price’

  3. Let other mines air their views, KCM should shut up. Chingola is now a ghost town, thanks to these Indian crooks.

  4. Indeed it’s sad to note that even after 55 years independence we have failed to chart our destiny. It’s very sad also to note that with so many enlightened intellectuals we have never come up with a concrete solution to our problems. MMD gave us a lot of hope especially that we had a large number of degree holders in almost every field. But alas we are now worse than when we were under Unip which comprised mainly people who didn’t complete secondary school. What a shame.

    • Well said, @Ndanje Khakis. If I add anything to what you have said I will mess it up! Always enjoy your well thought out postings.

  5. Augustine Mubanga has overstayed as President of Mine Suppliers, how different is he from Fanwell Banda? Don’t use these positions just to canvas for business, if you don’t hold elections this year I ask the Registrar of Societies to enforce the Law. We will support Govt on the tax issue but Edgar needs to control the extravagance and pillage of public funds. People are stealing like there’s no gehena, if you can’t fear the Law at least fear God

  6. Mr Muz president,
    what is your take on the plight of the 2500 Kalumbila/ Kansanshi employees who will be pruned due to the newly introduced mineral taxes by government?
    We support the move of the new taxes but we want that money to be properly used and not to be used for political gains.
    Secondly, it’s not helping to compel the mines to pay taxes and leave the miners helplessly without protecting their jobs.
    Just saying no jobs should be lost is not enough. it happened at Mopani in 2016 when an assurance of jobs was proclaimed yet the opposite happened.
    it should be a win win situation, l mean GRZ & the mine employees.
    Miners need to send their children to schools,
    the redundancy packages will only be a one month or two salaries.

  7. 50 years after independence and we still can’t harness the needed technologies and mobilise resources for an indigenous owned mine? Where did our so called rich take all they accumulated over the years? Its time we devised more proactive and entrepreneurial drive instead of parasitic approaches

  8. The government should ensure that the miners are paid better redundant packages by passing legislation rather than depending on negotiations between Mines and unions which in most cases disadvantages the employee.

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