Sibanye-Stillwater has contingency plans for strike at platinum operations
Sibanye-Stillwater has contingency plans in place to minimise the possible impact of a strike at its South African platinum operations, CEO Neal Froneman said on Tuesday.
The Association of Mineworkers and Construction Union (Amcu) announced on Monday that it is planning to strike at Sibanye-Stillwater’s local platinum operations, expanding an earlier stoppage affecting its gold facilities.
The new strike would begin on January 22 and involve about 12,500 of its members, Amcu said.
“Our South African platinum group metals (PGM) operations have been preparing for this outcome and, as such, have strike contingency plans in place to minimise the possible impact of a strike,” Froneman said in a statement.
Froneman added that the firm’s US PGM operations were providing support during the strike.
Sibanye-Stillwater said that while the expanded strike is allowed under the Labour Relations Act, it is within constrained parameters and the company would seek legal advice on the merits of the strike in the platinum division.
The company said it currently employs about 17,400 people at its local PGM operations, with Amcu representing about 56% of the staff at the Kroondal operations and 71% of the employees at its Rustenburg operations.
Sibanye-Stillwater’s shares fell 1.73% to R10.23 by 8.31am GMT, compared with a 0.21% rise in the all-share index.