The exercise, according to the company, was done to ensure
that the business remains viable given the depressed metal prices.
Metal prices have been on a downward trend since April 2023
and remain depressed to date.
The metal price decreased by up to 35% during this period
which has had a negative impact on cash flow and profitability.
“The outlook is that the prices will remain depressed in
the medium term. In view of this, we have had to implement several measures to
ensure that our business remains viable in the low-price metal environment,”
Mimosa said in a media update yesterday.
“These measures include capital expenditure curtailment,
cost reduction and cash conservation initiatives. It has also been necessary to
review our staffing structures to optimise these considering the prevailing
environment. This has resulted in a staff rationalisation exercise which has
affected 33 managerial and supervisory employees.”
The platinum miner said a voluntary separation package was
offered to 24 of the offloaded employees, while nine opted for early
retirement. No further rationalisation of the permanent staff complement is
planned at this stage, it said.
“People remain the most important part of our business, as
they define who we are, and are the primary source of our success,” Mimosa
said.
The miner said it had engaged its employees in all the
processes “we have been implementing in order to maintain morale and continue
to achieve all our production targets”. Newsday
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