Mimosa defends retrenchment position

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MANAGEMENT at Mimosa Platinum Mine have defended their decision to embark on a voluntary retrenchment exercise saying the route is a “win-win” situation for both the company and its employees.

STEPHEN CHADENGA
OWN CORRESPONDENT

Mimosa executive chairperson Winston Chitando said despite reducing costs for the organisation, the move had potential to bring a better future for the platinum producer.

“In our quest to monitor our cost base, one of the initiatives we have undertaken is a labour optimisation programme which we have been running for the past three years,”

Chitando said in a speech read on his behalf by resident mine director Peter Chimbodza before the Mines and Energy Parliamentary Portfolio Committee last Thursday.

“The programme has culminated in the need to embark on a voluntary retrenchment exercise for 100 people out of a total workforce of 1 766 full time employees. Our experience over the years is that the route is a win-win opportunity to both the company and employees concerned.”

Chitando assured the committee that the affected workers would be awarded effective exit packages that would offer them a bright future.

“Of course we will also play our part in ensuring that those who volunteer to leave the company are given effective exit counselling and are prepared for post-Mimosa life and opportunities that lie ahead for them.”

However, chairperson of the Portfolio Committee, Lovemore Matuke, said the government maintained its position that retrenchment should be the last resort for the company.

Following the mine’s announcement to retrench, there has been an outcry from government officials, including Midlands Provincial Affairs minister Jason Machaya, who blasted
the decision saying the government would resist such an undertaking.