Lonmin seals recognition pact with AMCU

[miningmx.com] – LONMIN and the Association of Mineworkers & Construction Union (AMCU) have signed an agreement that recognises the union as the majority labour representative on the UK platinum firm’s Rustenburg shafts.

“The agreement formally recognises AMCU as the majority union at Lonmin and acknowledges the rights and obligations which accompany that status as per the Labour Relations Act,” said Lonmin in a statement.

The agreement comes two days before platinum industry stakeholders commemorate the first anniversary of the Marikana tragedy when 34 miners were killed on Lomin’s property in a single event following wage and benefit related protests.

The timing of the recognition agreement between AMCU and Lonmin was not lost on the parties. “This shows that the victims did not die in vain and we pledge to continue with their fight for a living wage,’ said Joseph Mathunjwa, president of AMCU.

“We have different mandates, but we acknowledge that without co-operation we are all losers and that, as leaders, we must find a way to ensure we can move forward together in peace and stability,’ he said.

AFP quoted Mathunjwa earlier as having invited Senzeni Zokwana, leader of the National Union of Mineworkers (NUM), to join him in a commemoration of Marikana on August 16.

The recognition agreement with AMCU brings the curtain down on NUM’s previously unimpeachable control over labour unionisation in South Africa’s platinum industry, a control it has had for over 20 years.

Anglo American Platinum (Amplats) and Impala Platinum (Implats) already have recognition agreements with AMCU which is estimated to speak for up to 40% and 58% of their workforces respectively. It is estimated AMCU controls as much as 70% of Lonmin’s workers, according to estimates by AFP in a report on August 5.

“It has not been easy,” said Ben Magara, CEO of Lonmin who had been involved in negotiations with AMCU since joining the company on July 1, according to a Lonmin press statement. Magara replaced interim CEO, Simon Scott, who returned to his former post as CFO.

“It has been a constructive and robust engagement in search of a win-win solution,” said Magara. “There is much still to do, but this is a huge step towards stability and the prosperity of all our stakeholders,’ he added.

The NUM fought hard to deny AMCU recognition filing papers in court alleging AMCU had misrepresented its membership on Lonmin’s operations, a development that had Lonmin issue counter papers while AMCU warned of rising tensions.

AMCU had earlier declined to sign a framework agreement setting down a protocol for on-mine behaviour and other responsibilities of unions, company representatives, and the government itself.

There have also been shootings of union members, the latest a woman thought to be a NUM shop steward, near Lonmin’s premises suggesting the inter-union rivalry at the grassroots level may still be a risk to Lonmin.

There will be reduced production on Friday in acknowledgment of the importance of the day, although all shafts will remain operational, Lonmin said.