South African Platinum Strike Results In 12,000 Jobs Lost

Although Anglo American Platunim, or Amplats, is the worlds largest platinum producer, it’s current popularity is anything but great. After three weeks of wage striking by 28,000 workers, which has cost the company upwards of $82 million in revenue, the company held a mass firing of 12,000 miners.

The country is outraged, considering their unemployment rate already rested at a staggering 25%, but Amplats holds firm that their decision was based on miners failing to attend disciplinary hearings and striking illegally. Regardless of their so-called justified reasons for carrying out such a large eviction, there is no doubt that this mass dismissal will be a shattering blow to South Africa’s already weak economic growth.

With those that continue to strike over unfair wages, and now with the addition of the fired miners, Amplats’ work attendance is at less than 20%, leaving 4 of their mining operations at a standstill. With the backlash from South African residents, especially family members of the fired strikers, Amplats chief executive Chris Griffith has come forward stating that the company is still committed to,

exploring the possibility of bringing forward wage negotiations within our current agreements.

No word yet on if and how this will effect platinum prices in the US.

For more details visit the BBC News Report.

 

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