Govt rejects KCM’s plan to sack 2,000 workers

KONKOLA Copper Mines (KCM) plans to lay off 2,000 permanent employees across all its operations.

But mines deputy minister Richard Musukwa says the government has rejected KCM’s plans and has further challenged the company to surrender the mine to the state if they have failed to run it.

In a letter dated May 23, 2013 addressed to the Mineworkers Union of Zambia (MUZ), the National Union of Miners and Allied Workers (NUMAW) and United Mineworkers Union of Zambia (UMUZ), KCM vice-president for human capital David Kaunda stated that the company had been impacted by a number of economic and legacy issues that had made it imperative to review its operations for its continued viability.

“The challenges the company faces include; the downward trend of the price of copper at the London Metal Exchange from highs of US$9,000 per tonne to an average of US$7,000 with general market focus expectations being subdued prices for the foreseeable future,” he stated.