GOLD producer today, rejected claims made by trade union Solidarity that the company intends to retrench 1,300 employees at its 74%-owned Blyvooruitzicht (Blyvoor) gold mine near Carletonville.
The company said Blyvoor completed a restructuring exercise following a consultation process in terms of Section 189A of the Labour Relations Act some weeks ago.
It said the outcome of this exercise was that job reductions were contained to a total of 330, comprising 27 medical separations, 62 retirements, 101 voluntary retrenchments and 140 compulsory retrenchments.
Solidarity said yesterday that it had this week lodged an application with the Labour Court for an urgent interdict against DRDGold in a bid to get the company to follow due process regarding its planned retrenchments.
The trade union said the company refused several applications by Solidarity to be involved in the Section 189 process.
"In terms of the Section 189 notice, the company plans on retrenching 1,300 of the mine's employees," said Solidarity in a statement.
"Although there has been no consultations whatsoever with Solidarity regarding the retrenchments, Solidarity members have already been notified of the retrenchment and have been retrenched," the trade union said.
Solidarity, which represents about 115 members at the Blyvoor mine, maintained that the company did not follow a fair process as prescribed by the Labour Relations Act.
But DRDGold CEO Niel Pretorius insisted that in spite of the fact that Solidarity is not recognised as a bargaining unit at Blyvoor because it represents only a handful of employees, the union was invited to make representations at the Section 189A consultation process.
"It failed to do this and it has now come to our attention that, after the fact, the union is seeking an urgent interdict against DRDGold," he said
Pretorius feels the union was "acting in bad faith, seemingly intent on causing unnecessary anxiety and discord amongst the Blyvoor workforce by stating in public, without any substantiation whatsoever, that further retrenchments are planned".
DRDGold last week applied for and was granted judicial management over its Blyvoor mine, which is on the brink of liquidation.
"We have made it very clear in two public announcements in recent days, what our intentions are regarding Blyvoor going forward," Pretorius said.
He said the company have been encouraged by the indications of support it has received from all stakeholders, and in particular the Blyvoor workforce and the two recognised unions, the National Union of Mineworkers and UASA.
"On the other hand, we find Solidarity's actions counter-productive and downright mischievous," Pretorius said.
In opening trade, shares in DRDgold were trading 1.80% or 6 cents lower at R3.39 on the JSE.
The stock has shed 26.94% of its value this month to date.