Comprehensive  Ghana Oil and Gas news, information, updates, analysis


News in Brief

AngloGold lay off 5,300 workers

  • SOURCE: | Editor
  • anglogold

    Anglogold Ashanti, Ghana is to shut down its mine at Obuasi with effect from November 14, 2014. Consequently, the company has decided to reduce its staff strength from 6,000 to 700.

    The new workforce is made up of 600 from the main mining department and 100 from its hospital to pave the way for a partial shutdown of the mine from November 14, this year.

    The company has spent a total of $220,000 on the  redundancy exercise in a package which has been described as one of the best in the country.

    Letters

    Letters to affected workers, including top management members and seen by the Daily Graphic yesterday at Obuasi, thanked them for their contribution to the Obuasi mine that made it one of the best in the world.

    The company, according to a communique, would now consign itself to care and maintenance, involving drilling, a feasibility study on the redundancy exercise and on the drills to know the exact quantum of gold that can be explored by the company on its return.

    The process also includes tailing or rewashing of the ‘leftovers’, as well as reversing the underground decline.

    The return to the temporary shutdown underground will be contingent on how early the feasibility is completed and on the advice of experts. But, tentatively, the return to the site has been fixed for the next two years.

    Contract

    Sources told the Daily Graphic that the management could contract up to 900 workers for a year, depending on its needs.

    A source said as had been the practice among mining companies across the world, Anglogold would no longer employ workers over a long period as was the case in the past. Rather, in future, people would be engaged on ‘yearly performance-based renewable contract’ basis.

    This means that only those who would be able to meet targets set by management would be re-engaged on the expiration of their first engagement.

    Retrenchment

    Anglogold Ashanti, Ghana said early this year that it had been compelled to embark on the massive retrenchment exercise because of increase in its overhead cost, a drop in world gold price and other related factors, which made it uneconomic to keep a large workforce.

    Also, the second phase of its new operation would be capital-intensive rather than labour-intensive.

    Source: Daily Graphic

    Share this article

    Leave a reply

    Personality of the Month
    Poll

    Do you think the President should fund the free SHS with oil revenue?

    Follow Us Online
    About Us
    Reporting Oil and Gas project was launched on 4th June 2009 at Takoradi, Western Region, Ghana by Penplusbytes (www.penplusbytes.org) with the vision of providing a one stop online information and knowledge about Ghana’s oil and gas sector read more
    Events Calendar
    << Jul 2018 >>
    MTWTFSS
    25 26 27 28 29 30 1
    2 3 4 5 6 7 8
    9 10 11 12 13 14 15
    16 17 18 19 20 21 22
    23 24 25 26 27 28 29
    30 31 1 2 3 4 5
    Twitter Activity Stream
     

    Partners We are proud to be associated with:

    Skip to toolbar