07 Jun

UASA intends taking mining giants Anglo Gold Ashanti and Harmony to court for breach of contract and not acting in good faith.

Harmony acquired the Moab Khotsong and Mponeng mines from Anglo Gold Ashanti in late January this year. The transactions were considered to be section 197 transfers, meaning that the businesses were bought over as going concerns.

UASA ‘D’ upper grade (mid-management and professionally qualified) members employed at the mines have now run into difficulties regarding a deferred bonus scheme and are not receiving money due to them because of technicalities affecting the section 197 process.

The Bonus Scheme provides for the cash deferral payments after the date of allocation. UASA believes that the transfer of our member’s employment contracts took place pursuant to a transfer of the business as a going concern in terms of section 197 of the LRA.   

The obligation by Anglo Gold Ashanti to make payment is an obligation as contemplated by the section 197 of her LRA. It became the obligation of Harmony upon transfer.

As a responsible Union, UASA did attempt to resolve the issue with Anglo Gold Ashanti and Harmony Gold needless to say without any success.   

UASA will now approach the Labour Court to institute the claim against Anglo Gold Ashanti and Harmony Gold.   

For further enquiries or to set up a personal interview, contact Franz Stehring at 082 806 5164

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