No more SA labour brokers for German chemicals manufacturer

Lanxess, a German specialty chemicals multinational group with global sales of €8,8bn last year, has permanently appointed 357 workers formerly hired through a labour broker at its Rustenburg chrome ore mine, Business Day reports.

Having used a labour broker's services for the past 12 years, Lanxess says it will now take full control of workforce skills development at the mine.

South African unions have long opposed the use of labour brokers, which they claim deny contract workers employment rights such as medical aid and pension funds, despite it being a R26bn-a-year industry. Lanxess contractors, who previously accounted for nearly 70% of the company's workforce, did not enjoy the same remuneration and benefits as permanent employees.

Lanxess SA MD Dr Karl-Rudolf Gassen said that the company prioritises premium quality production at all its facilities - "the only way to realise this," he said, "is through a skilled and motivated workforce." Lanxess now had the "right people in the right jobs", remunerated according to industry standards, he concluded. According to Business Day, Boingotlo Nthebe from the National Union of Mineworkers (NUM) welcomed Lanxess's decision. "As an organisation that advocates for the rights of workers in the mining industry, we welcome this business decision that Lanxess has made," he said.

Read the full article on www.businessday.co.za.