Blyvoor strikers return to work
12 October 2009
Johannesburg, South Africa. 12 October 2009. DRDGOLD Limited (JSE: DRD; Nasdaq: DROOY) announced today that a wage-related strike by some 3 900 employees in the National Union of Mineworkers (NUM) recognition unit at the Blyvooruitzicht Gold Mining Limited (Blyvoor) operation is over.
The NUM signed a wage agreement with the company on Friday afternoon (9 October) and the strikers, who have been on strike since 15 September, returned to work at the start of the night shift last night (Sunday, 11 October).
The agreement provides for an 8% across-the-board basic wage increase. The union rejected the company’s offer of a gold profit sharing scheme, in terms of which employees could have earned up to an additional 7%.
At DRDGOLD’s East Rand Proprietary Mines Limited (ERPM) operation, where underground mining has been discontinued, the NUM accepted a 4% across-the-board basic wage increase and the gold profit sharing scheme the week before last. At the Crown Gold Recoveries Limited (Crown) operation, the union accepted an 8% across-the-board increase and the gold profit sharing scheme on Wednesday last week, and 500 striking Crown employees returned to work on Thursday.
DRDGOLD’s estimated daily gold production loss due to the strike action was some 320 ounces, almost entirely from Blyvoors deep-level underground mining operation.
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