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Saturday, 27 October 2012 - South African mine strikes wind down with Amplats deal |
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      Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Home Business Business Home Economy Technology Media Small Business Legal Deals Earnings Social Pulse Business Video The Freeland File Aerospace & Defense Investing Simplified Markets Markets Home U.S. Markets European Markets Asian Markets Global Market Data Indices M&A Stocks Bonds Currencies Commodities Futures Funds peHUB World World Home U.S. Brazil China Euro Zone Japan Mexico Russia India Insight World Video Reuters Investigates Decoder Politics Politics Home Election 2012 Campaign Polling Supreme Court Politics Video Tech Technology Home MediaFile Science Tech Video Tech Tonic Social Pulse Opinion Opinion Home Chrystia Freeland John Lloyd Felix Salmon Jack Shafer David Rohde Nader Mousavizadeh Lucy P. 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Follow Reuters Facebook Twitter RSS YouTube Read 'Super storm' Sandy regains hurricane strength | 10:37am EDT Hurricane Sandy slogs toward U.S., 41 killed in Caribbean | 26 Oct 2012 Obama, Romney line up elite lawyers for potential election disputes 1:04am EDT Up to 40 percent may vote early in election; Obama ahead 26 Oct 2012 Tropical cyclone Sandy regains hurricane strength 8:39am EDT Discussed 537 White House told of militant claim two hours after Libya attack: emails 156 After final debate, Obama says election comes down to trust 128 Trump to give $5 million to charity if Obama releases records Sponsored Links South African mine strikes wind down with Amplats deal Tweet Share this Email Print Related News South African mine strikes ease with deal at Amplats 4:55am EDT UPDATE 4-Anglo CEO Cynthia Carroll quits as share price lags Fri, Oct 26 2012 South Africa union agrees gold mine pay deal as most strikers return Thu, Oct 25 2012 AngloGold sacks 12,000 defiant South African miners Wed, Oct 24 2012 Strike hits South Africa junior coal miner Wed, Oct 24 2012 Analysis & Opinion Cynthia Carroll’s departure won’t fix Anglo McGovern: Forging a modern political party Related Topics Investing Simplified » World » By Sherilee Lakmidas and Jon Herskovitz JOHANNESBURG | Sat Oct 27, 2012 10:35am EDT JOHANNESBURG (Reuters) - Workers have reached a deal with Anglo American Platinum to reinstate 12,000 miners sacked for an illegal strike, which could end the last big industrial action that has rocked South Africa's massive mining sector. Months of often violent wildcat strikes have cut production in the platinum and gold sectors, raising concerns about slowing economic growth as well as awkward questions about President Jacob Zuma's management of the most damaging labor strife since the end of apartheid in 1994. "They agreed to reinstate all the dismissed workers on the provision that they return to work by Tuesday," Lesiba Seshoka, spokesman for the powerful National Union of Mineworkers (NUM), told Reuters on Saturday. Seshoka said he expected workers would return to their posts and "that will mean the end of the strike". Anglo American Platinum, or Amplats, said in a separate statement it had reached the deal with several unions and offered sweeteners such as a one-off hardship payment of 2,000 rand ($230) to facilitate the return. The strike has lasted about six weeks and crippled production. "Employees who do not return to work on Tuesday ... will remain dismissed and/or be subjected to the illegal strike disciplinary action and will not be eligible for any of the benefits mentioned above," it said in a statement. While tensions may be winding down at Amplats mines, police in the area's platinum belt city of Rustenburg fired rubber bullets, tear gas and stun grenades at a labor rally on Saturday to separate NUM members from other workers who have been fighting a deadly turf war for support. Seven people were arrested and no major injuries were reported in the incident about 120 km (80 miles) northwest of Johannesburg, police said. In recent days, several wildcat strikes over wages and working conditions in the gold sector have come to an end with employers sacking, or threatening to sack, miners striking illegally. South African labor law requires clear formal processes for strikes and walk-outs. Those that do not go through all the proper hoops are considered illegal, and can result in striking workers being sacked. Mining firms usually reinstate dismissed workers because it is more expensive to train a new workforce. But some of the job losses could be permanent with employers using the labor strife to shut down marginal mines in South Africa. ANC ELECTION The deal at Amplats comes after Cynthia Carroll, chief executive of parent Anglo American, announced her resignation on Friday. She had come under pressure from investors over the firm's lagging share price and continued dependence on strike-hit South Africa. Anglo owns 77 percent of Anglo American Platinum. Although responsible for 24 percent of its parent's 2011 revenue, Amplats brought in just 8 percent of total operating profit because of soaring costs. If the workers do return to Amplats, Zuma will have likely weathered a labor storm that threatened to cause problems for him as he seeks re-election as leader of the ruling African National Congress at a party meeting in December. If Zuma wins the race to lead the party that dominates South African politics, he will be on a path to remain the country's president for another term lasting until 2019. Zuma has called on wildcat strikers to return to work, pledged to speed up a massive infrastructure program to improve living conditions in the mining belt and held a high-level meeting with labor and industry trying to break the impasse. Critics saw these moves as mostly symbolic, doing little to ease the tension and saying hardball negotiation tactics from employers and weeks of lost wages had more of an effect in ending many of the strikes. Local media said Zuma appeared to have an edge in the ANC race, in which about 4,500 local branch delegates will select the party's leaders. Zuma's foes, who see him as an ineffectual leader, could be emboldened if labor tensions flare again. Many strikers accuse ANC leaders and their labor allies of worrying too much about their political ties and not showing enough concern for miners working deep underground. The strikes have highlighted persistent glaring income inequality in South Africa, which has increased since Nelson Mandela's ANC took over following the end of white-minority rule in 1994, promising "a better life for all". Zuma has come in for particular criticism for not responding faster to the August 16 police killing of 34 strikers at Lonmin's Marikana platinum mine, the bloodiest security incident since the end of white-minority rule in 1994. (Editing by Andrew Roche) Investing Simplified World Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints   We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (0) Be the first to comment on reuters.com. Add yours using the box above.   Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Back to top Reuters.com Business Markets World Politics Technology Opinion Money Pictures Videos Site Index Legal Bankruptcy Law California Legal New York Legal Securities Law Support & Contact Support Corrections Connect with Reuters Twitter   Facebook   LinkedIn   RSS   Podcast   Newsletters   Mobile About Privacy Policy Terms of Use AdChoices Copyright Our Flagship financial information platform incorporating Reuters Insider An ultra-low latency infrastructure for electronic trading and data distribution A connected approach to governance, risk and compliance Our next generation legal research platform Our global tax workstation Thomsonreuters.com About Thomson Reuters Investor Relations Careers Contact Us   Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. 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