AngloGold Ashanti CEO Srinivasan Venkata Krishnan announced on Wednesday that the mining company might cut over 8,000 jobs to preserve the remaining operations in the country.
Venkata Krishnan says the mining company might consider decrease over 8,000 jobs to sustain the long-term business in South Africa along with the majority of its workforce.
It is understood that the AngloGold Ashanti notified its stakeholders earlier this year that it would review its gold-mining operations in light of heavy and ultimately unsustainable losses.
Venkata Krishman says despite the negative effect on employees, this could preserve the viability of the remaining mines.
“This decision is a tough one for us, as you can appreciate as it is for the employee, but nevertheless, it’s something that needs to happen to preserve the viability of the remaining mines which employ two-thirds of the workforce.”
The labour Unions has called for a review following the announcement made by AngloGold Ashanti that it will cut potential jobs in the mining sector.
The National Union of Mineworkers’ Livhuwani Mammburu says they are angry and shocked after being notified of the possible retrenchments of 8,500 workers at AngloGold Ashanti.
“These companies in South Africa don’t care about mine workers; they don’t care about creating jobs. They just care about profits.”
He says one job loss affects a number of people especial breadwinners.
“One mineworker supports close to 10 family members, imagine 8,500.”
Meanwhile, trade union Solidarity says it’s concerned that more jobs could be cut in the sector due to new rules announced by the AngloGold Ashanti.