Anglo American Platinum, a leading platinum producer, has found itself in a challenging position due to the global and local pressures facing the platinum group metals (PGM) industry. Despite rapid responses and extensive actions taken throughout 2023, the company’s CEO, Craig Miller, has acknowledged that these efforts have fallen short of addressing the full scope of the challenges. As a result, further measures are deemed necessary to bolster the company’s resilience and competitiveness.
The proposed restructuring, which is in accordance with Section 189A of the South African Labour Relations Act, could potentially affect approximately 3,700 jobs across the company’s operations in South Africa. This includes both permanent and fixed-term employees. The process will involve a consultation period with trade unions and affected employees, facilitated by the Commission for Conciliation, Mediation and Arbitration (CCMA). The final number of impacted jobs will only be determined upon the conclusion of this consultation process¹²³.
Anglo American Platinum has expressed its understanding of the socio-economic impact such retrenchments will have on employees, their families, and communities. In anticipation of these effects, the company plans to implement well-being support programs and comprehensive social impact mitigation measures to assist those affected during this transition¹.
Despite the current challenges, the company remains optimistic about the long-term demand for PGMs, given their significant role in fostering a greener world. With a focus on safety, operational excellence, and organizational effectiveness, Anglo American Platinum is taking necessary steps to secure its long-term viability and competitive position, aligning with its strategic priorities for a sustainable future¹.
The decision to proceed with the restructuring reflects the company’s commitment to the continued employment of thousands of workers and contractors. By taking these difficult steps, Anglo American Platinum aims to continue sharing value with host communities, paying taxes and royalties, and procuring goods and services from local suppliers¹.
In summary, while the company faces immediate challenges, its actions are geared towards ensuring a stable and prosperous future for the business, its employees, and the broader community it serves.
