Vubachikwe Mineworkers lose confidence in shareholders

Justice Chinhema

Duration Gold Limited-owned Vubachikwe Mine’s workers say they have lost confidence in the shareholders and its management due to the continued mismanagement resulting in failure to pay salaries and reopening of the Mine.

Rudairo Mapuranga

The workers through Zimbabwe Diamond and Allied Mine Workers Union (ZDAMWU) General Secretary Mr Justice Chinhema said that they are disappointed by the management who “lied” that plans to resume operations rests in the election of workers committee when in actual fact workers don’t determine the reopening of a struggling Mine.

“We note with concern comments by yourselves in which it was reported that the ‘reopening of the mine rests on workers’. The report quoted you saying plans to resume operations at Vumbachikwe mine are at an advanced stage but rest on workers who are required to elect a workers committee. We are shocked and surprised by this statement from you that seek to push a narration that workers can determine the reopening of a struggling mine.

“This is a dangerous path you are choosing because it is on record that management suspended operations to make sure it is safe to mine again after the job action. Elections of the workers’ committee can never be the deciding factor to reopen. Instead, payment of outstanding salaries that caused the job action, sound business management, capital injection and good corporate governance is required for the mine to reopen. Workers are employed to work not to elect the workers’ committee, and all the workers are holding on to your communication that operations are suspended. The first memo from you must uplift the suspension of operations followed by payment of all outstanding salaries in full, a clear work plan and commitment by your management and shareholders that salaries and wages will be paid on time every month including remittance of all statutory employment deductions. This does not require a workers’ committee for it to happen but requires your management to act and do so urgently,” Chinhema said.

Vubachikwe Gold Mine Manager None Kananji had said through the media that plans to resume operations at Vubachikwe Gold Mine in Gwanda are at an advanced stage with the mine management waiting for workers to select a new workers’ committee to ensure that the rights of employees are not undermined.

“Our last communication to the workers spelt out what we need to go to the negotiating table for an immediate restart and they are aware of the expectations,” said Kananji.

Chinhema continued saying that it was difficult for the mine to resume operations as workers are still to be paid outstanding allowances resulting in the workers losing confidence in Duration Gold as a notable owner of one of the oldest gold mines in Zimbabwe.

“The current situation points to lack of strategic direction and we now have the view that the failure to pay salaries on time and other obligations are due to financial mismanagement, and lack of proper management. There is great variance on workers’ welfare and extravagance on the part of the shareholders. To be honest with you manager, we have lost confidence in the shareholders of the company and its management. Workers have been living in abject poverty and facing hardships under the watch of the current management who have failed to find lasting solutions to all problems that affect parties to an employment contract,” Chinhema said.

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ZDAMWU also gave Vubachikwe Gold Mine a seven-day ultimatum, “With all the above we are under instructions to demand the following from your management within (7) seven days–

  1. All outstanding salaries be paid in full to everyone owed within the (7) seven days of receipt of this letter.
  2. 2022 back pays and all allowances be paid in full at once by the last day of January 2023.
  3. Duration Gold (Vubachikwe mine) through its shareholders makes a pledge that going forward all salaries will be paid in full at the end of every month.
  4. No employee will lose his/her employment because of anything, instead, the management team should see heads rolling for poor management.
  5. A financial re-capitalization must be made so as to secure the jobs of current workers.

In the event that you fail to address the above within the stated time, or chose to ignore, we are under instructions to immediately consider the process of corporate rescue which we believe is long overdue. As you may appreciate, corporate rescue is meant to resurrect failing entities. In our view, we should not wait until another mine collapses, and jobs lost, but diligence requires that we act now.”

Gwanda-based human rights watchdog Coalition for Citizens Advocates secretary-general Wilbert Ndiweni said that Vumbachikwe mine management was making unfair demands to desperate workers.

“This is a serious violation of workers’ rights and the country’s labour laws regarding wages and salaries. We are appealing to Vubachikwe management to at least show humane concern and avert a possible social calamity by giving these suffering human beings their earnings so that they also restore order in their families which are in abject poverty. We, as an organisation, appeal to the government to intervene at Vubachikwe before a social calamity unfolds.”

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