• 4 minutes Tariffs to derail $83.7 Billion Chinese Investment in West Virginia
  • 9 minutes Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
  • 17 minutes Kaplan Says Rising Oil Prices Won't Hurt US Economy
  • 15 hours Kaplan Says Rising Oil Prices Won't Hurt US Economy
  • 1 day Tariffs to derail $83.7 Billion Chinese Investment in West Virginia
  • 4 hours Saudi Arabia turns to solar
  • 4 hours Corruption On The Top: Netanyahu's Wife Charged With Misuse of Public Funds for Meals
  • 10 hours Could oil demand collapse rapidly? Yup, sure could.
  • 5 hours Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
  • 7 hours Russia's Energy Minister says Oil Prices Balanced at $75, so Wants to Increase OPEC + Russia Oil by 1.5 mbpd
  • 10 hours Gazprom Exports to EU Hit Record
  • 6 hours U.S. Withdraws From U.N. Human Rights Council
  • 10 hours OPEC Meeting Could End Without Decision - Irony Note Added from OPEC Children's Book
  • 15 hours China’s Plastic Waste Ban Will Leave 111 Million Tons of Trash With Nowhere To Go
  • 8 hours What If Canada Had Wind and Not Oilsands?
  • 9 hours "The Gasoline Car Is a Car With a Future"
  • 3 hours EU Confirms Trade Retaliation Measures vs. U.S. To Take Effect on June 22
  • 21 hours EVs Could Help Coal Demand
  • 9 hours Sell out now or hold on?

Breaking News:

Saudi Aramco Clears Another IPO Hurdle

Alt Text

Is Brazil The Next Big Platinum Frontier?

The geology of both the…

Alt Text

How Long Will The Lithium Rush Last?

As the race to secure…

Alt Text

Tech Giants Scramble To Secure Cobalt Supply

Apple is leading the way…

Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Trending Discussions

Has South Africa Just Pushed The Restart Button For Mining?

South Africa mine

One of the most striking stories in mining the last decade has been the decline of South Africa. With that nation going from world’s top gold producer in 2006 all the way down to 7th place globally in 2016.

Part of that decline is due to geology — with deposits here being deep and expensive. But there’s another big reason for South Africa’s mining issues: labor problems that have plagued the gold and platinum sectors the last several years.

But a landmark court ruling this week may change that. With South Africa’s highest court severely curtailing the ability of mineworkers unions to stage crippling strikes.

South Africa’s Constitutional Court delivered a verdict Tuesday in a case brought by the Associated Mineworkers and Construction Union (AMCU). Where the union was appealing a 2014 Labor Court ruling that forced it to accept collective bargaining as part of wage negotiations.

The original case here stems to 2013. When AMCU’s fellow unions National Union of Mineworkers, UASA and Solidarity all accepted a pay deal with major gold mining companies — one which AMCU leaders disagreed with.

AMCU refused to accept the pay agreement. And were promptly taken to court by mining firms — who argued that under an “inclusive process” of bargaining, AMCU should be forced to accept the pay deal when a majority of other unions had signed off.

The Labor Court agreed, ruling that AMCU should be bound by the deal. Prompting AMCU reps to appeal to the Constitutional Court — leading up to this week’s decision, where Constitutional Court judges upheld the original decision in favor of mining companies. Related: Oil & Gas M&A Just Broke All Records

The result is that AMCU (and other unions) will no longer be able to singlehandedly go on “protected” strikes — where workers cannot be fired during labor action. Going forward, any such activist strikes would risk workers losing their jobs.

That’s almost certain to reduce the incidence of strikes across South Africa. Which would be welcome news for mining companies, bringing much more certainty to operations here.

The case isn’t completely finished, with AMCU lawyers saying they are examining a potential appeal of the Constitutional Court decision. Watch for next moves from the union, and for a potential improvement in the operational climate in South Africa if this week’s ruling does stand.

Here’s to getting to work.

By Dave Forest

More Top Reads From Oilprice.com:




Back to homepage

Trending Discussions


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News