Included in our list of demands is that management must stop attacking workers through possible retrenchments and salary cuts. We remain convinced that it is unnecessary to cut jobs, given that last year approximately 350 employees were forcefully retrenched whilst at least 700 accepted VSP’s (Voluntary Severance Packages). At the same time, the plant in Saldanha has wound down and approximately a thousand workers, (including contract workers) have lost their jobs since its closure. The job losses could be far more if you consider the impact on subcontractors.

In 2015 we put pressure on government to intervene when ArcelorMittal and other steel companies were threatened by the dumping of cheap steel onto the market by the Chinese. Because of our intervention, government imposed tariff protections on 21 of AMSA’s products as well as implementing anti-dumping measures. We partnered with them in order to save the company and the sector as a whole. And now, at a time when the entire country is battling to cope with the covid-19 pandemic, the management at AMSA is taking steps to worsen the suffering of workers and their families’ by threatening them with retrenchments. The alternative to retrenchment is a 25% reduction in salary.

In our memorandum we have demanded that AMSA management must withdraw the retrenchments notices, and they must retract the threat to reduce salaries and conditions. We also repeat the demand that government must intervene to save jobs by putting a moratorium on retrenchments during the covid19 pandemic. Government has a duty to intervene take decisive action to defend jobs and protect the economy.

Today was also the first day of section 189 consultation and the company made a detailed presentation trying to justify the rationale for contemplated retrenchments. We will be meeting again next Tuesday.  

Statement supplied.