In an informal bar near the platinum belt city of Rustenburg, striking miner Oupa Majodina holds up his cellphone to show a photo of his pride and joy: The parties finally agreed on the following: The ripple effect of what happened at Lonmin mining company may have consequences beyond what is currently foreseen.
It was widely reported that the economy lost R7 billion as a result of the prolonged strike action. Duration of strikes and breakeven strike days From the calculations contained in Table 1 it is clear that the number of strike days plays an important role in the financial outcome for the worker.
This article was originally published in the February issue of ASA. I need the cash," he said glumly as he nursed a beer. What can I do? The strike lasted for 8 days. It is also pointed out that the longer the strike lasts, the smaller the net benefits become in terms of present value and that a breakeven point in strike days is reached when the net benefits are zero.
After sending money home for years to his family, he will now have to draw on his cows and kin to see him through the strike. The nominal loss was R4, and the present value of the loss amounts to R4, per worker.
On settlement of the dispute, the parties agreed on the following: The industrial action lasted for 13 days and 12, workers engaged in the strike, disrupting train operations of both Metro Rail and Shosholoza Meyl.
Table 1 contains a summary of the results and calculations for the three strike actions. Summary of results of three strike actions Note 1 This annual salary not only includes the increase settled on, but also the wages not earned because of the strike. It grew in to 5.
From Table 1 one can deduce the following: Workers seek relief from these economic hardships through the wage negotiation process. MAMEO In nominal terms workers had a gain of R1, and when the time value of money is taken into account, a net gain of R per worker is calculated.
Perhaps half a percent had been lost already, he added, if the R4-billion in lost employee wages and the effect on companies that supply and service the mines are added. In this study we seek to measure only the quantitative gains of industrial action.
Although the settlement did result in employees getting a premium above inflation, the industrial action eroded those gains as a result of lost wages incurred during the period. Case studies The profitability of embarking on a strike, from the viewpoint of the worker, is determinable by using both quantitative and qualitative factors.
The recent strikes at Marikana and its tragic loss of lives mark one of the darkest chapters in the history of our country. International Journal of Labour Research. Job losses and shaft closures look highly likely.
With no resolution in sight, the cost of the present strike may exceed that, and the losses will continue to mount after it is over, as operations will take a long time to get back to full production.
The lost wages have been felt immediately in the communities along the platinum belt northwest of Johannesburg. Spot platinum prices are little changed since the strikes began on Jan. The results for the three case studies are presented in Figure 1.
According to The Economist Intelligence Unit Mining production decreased by 6,5% year-on-year in Mayreports Statistics SA. The crippling strike action that began on 23 January in the platinum sector has had a negative impact on total mining production.
The largest negative growth rates were recorded for PGMs (,5%), other non-metallic minerals (,3%) and building materials (,7%). The immediate impacts on local mining towns were partic- ularly severe, but our research shows that the strike could also have long lasting negative impacts on the South African economy as a whole.
Mining strikes impact on manufacturing The manufacturing sector is slowing down as a direct result of the mining industry strikes, with worse to come, according to.
Environmental Impacts By Mining Activities Environmental Sciences Essay. Print Reference this. Published: 23rd March, Because of its impacts, mining is one of those activities that need to be strictly controlled at all stages, from prospection and exploitation to transportation, processing and.
The Financial Impact of Strike Actions. 22/02/ By Johannes de Wet. The ripple effect of what happened at Lonmin mining company may have consequences beyond what is currently foreseen. Paper, Rolls, Styan, Ashton and Wasserman () state that the impact of the ‘Marikana massacre’ will be felt for many years into the future.
Mining strike hits SA macro and micro economy have not been able to capitalise on their rivals' misfortunes as the strike has not had much impact on price. mining strike Impala Platinum.Download