Over 400 Newmont mineworkers to go home this month

Newmont Ghana is to lay-off about 472 of its mineworkers by the end of this month, B&FT has gathered.

The mining giant, Newmont Ghana, which is part of US-based Newmont Mining Corporation, announced to retrench 600 of its staff in February and said it aims to readjust expenditure to match a reduced mining rate. An earlier retrenchment in 2013 saw around 240 workers of the company’s Ahafo mine sent home.

But mineworkers union vowed to resist Newmont Ghana’s planned retrenchment, citing that the company has not built a convincing business case to further cut down its local workforce of more than 2,000. Instead, the company’s business outlook is vibrant.

This issue led into the renegotiation of the conditions of service which was sent to the National Labour Commission for arbitration.

The Commission then directed the union and Newmont to seek arbitration over the disagreement following the filing of a petition by the union.

Employees of the multinational firm had been engaging each other at the National labour Commission (NLC) over the move but they later requested temporal suspension of the arbitration process, to enable them find a mutually acceptable outcome.

In a joint statement issued and signed by Ghana Mine Workers Union’s (GMWU) General Secretary, Prince Ankrah and Newmont Ghana’s Pascal Kanbonnabah, Regional Vice President, Human Resources said, the parties have agreed that Newmont proceeds with its reduction in workforce in September while impacted employees be paid the difference in compensation that may arise from the salary negotiations for the remaining force.

According to the statement: “All outstanding matters currently pending at the National Labour Commission will be discussed and resolved within the context of a revived partnership.”

“Together we will communicate the MOU to the panel of arbitrators, instituted by the National Labour Commission, for adoption into an arbitral award,” the parties said.

GMWU's General Secretary - Prince Ankrah and Newmont Ghana's Pascal Kanbonnabah - Regional Vice President, Human Resources stated in a joint media statement.

Ankrah and Kanbonnabah said: “We applaud the negotiating teams of Newmont Ghana and the GMWU for committing to collaboration and positive dialogue that has typically existed between both parties.”

Both parties reportedly reiterated their commitment to fostering a mutually beneficial partnership and working together to revitalize the Ahafo Mine and set it on course for long-term sustainability, future growth opportunities and shared value.

“It is important we arrive at mutually acceptable outcomes in the interest of the long-term sustainability of Newmont Ghana’s operations,” Ankrah and Kanbonnabah remarked.