2005-11-12,+NUM+on+Anglo+De+Beers+BEE+deal

NUM PRESS RELEASE, November 05, 2005
= 15% TO “KEY” EMPLOYEES SORE THUMB IN THE DE BEERS/PONAHALO EMPOWERMENT DEAL =

In what would have, probably, otherwise been a well-rounded black economic empowerment deal between the diamond miner, De Beers, and the newly created empowerment consortium, Ponahalo Investment Holding, has been tainted by has been tainted by a 15% set aside for what is feebly labelled “key” employees.

“The union can objectively say that this deal, in contrast to the other highly acclaimed so-called BEE ones; this is by far the better one. It is without the usual suspects. Diamond mineworkers, past and present, are beneficiaries. The only thing that spoils the apple-pie is the 15% that De Beers claims will be set aside for some fashionable group called key employees. What is unsettling is that the 15% is from the 50% intended for all workers”, said Gwede Mantashe, NUM General Secretary.

According to the deal,


 * Ponahalo gains 26% of De Beers


 * 50% of the 26% is for employees and former employees


 * 15% of the 50% is for key employees (the tricky part)

The problem with an undefined thing as “key” employees we are likely to come across instances where the company will patronise some sections of the workforce, or even racism for that matter.

We are pleased that the BEE partner, Ponahalo Investment Holding, is chaired and led by a former diamond mineworker and a trade unionist. We hope that his experiences will assist in ensuring that this new partnership with De Beers will lead to the betterment of workers and the communities of diamond mineworkers. We also hope that the participation of particular individuals in Ponahalo will foster a new De Beers that is a lot more proud of being South African.

However, on the whole, this deal sends the right signals in an industry that is seemingly hesitant to wholeheartedly embrace transformation enshrined in the Mining Charter. A document they are signatories to, anyway.

“We certainly hope that the De Beers/Ponahalo deal, with reference to employee share ownership, will bring enough shame to Anglo for giving all employees a 3% pittance in the recent Kumba deal”, said Gwede Mantashe.


 * Moferefere Lekorotsoana**


 * HEAD: PUBLICITY AND INFORMATION**

Tel: 27.11.377-2000 (reception), 27.11.377-2036 (direct) Fax: 27.11.836-6051 Cell: 082 804 5041 Homepage: [|www.num.org.za]