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Article

18 Sep 2017

Author:
Phila Mzamo, Mining News (South Africa)

So. Africa: Govt. says Lonmin in breach of some of its social & labour obligations; company requests time extension to redress the situation

"Lonmin is said to breach social plan needed for mining license", 18 Sept 2017

Lonmin has been given a deadline by South African authorities to fix non-compliant parts of its social labour plan (SLP) or risk having its mining right suspended, according to a person familiar with the matter. The Department of Mineral Resources (DMR) issued...Section 93 notice to the platinum miner relating to shortcomings in Lonmin’s commitment to local development programs, community education and procurement, said the person, who asked not to be identified because the notice hasn’t been made public. “We have received correspondence from the DMR that highlights areas that have been identified as non compliant and/or are behind schedule of implementation in our current SLP,” Lonmin said in a statement. The company will provide evidence of compliance in some areas and is requesting time extensions in other areas, it said...Social labor plans are required by the government to make sure host communities benefit from mining beyond employment and taxes. But they frequently have little input from community members and are rarely enforced, according to a report in March by the Centre for Applied Legal Studies. “SLPs are not assisting in overcoming systemic inequality,” it said.