Mopani Copper Mines (MCM) has successfully brokered a significant agreement with its unionized employees, securing a 13 percent salary increase for the year 2024. The accord brings an end to a period of tension marked by worker concerns and signals a positive step forward for industrial relations within the company.
This milestone follows recent intensive discussions involving the Zambian government, labour unions, and Mopani, aimed at addressing various grievances raised by workers. A key challenge highlighted during these deliberations was the prevalence of misinformation circulating among miners regarding their wages and benefits.
Thabo Kawana, the Permanent Secretary of Information, shed light on the issue, stating, “Miners were misled by some members of parliament with claims of US$1,000 salaries and free Toyota Mark-X vehicles. This misinformation is fuelling anger amongst workers.” The dissemination of inaccurate information had contributed to heightened dissatisfaction among the workforce.
The entry of Mopani’s new equity partner, International Resources Holdings (IRH), played a pivotal role in shaping the outcome of the negotiations. IRH’s infusion of investment capital injected fresh momentum into mining operations, prompting a reassessment of the initial 12 percent salary increase proposal.
Under the terms of the agreement, all unionized employees at Mopani will enjoy a 13 percent salary hike, ensuring a more equitable distribution of benefits across the workforce. Additionally, Mopani has committed to implementing a bonus incentive scheme, aimed at recognizing and rewarding employee performance.
The impact of the salary adjustment varies among employees, with those at different salary levels receiving proportionate increases. For instance, the highest-earning unionized worker will see a rise of K1,400, while the lowest earners can expect an increase of around K800.
Justine Chiwama, the Employees Relations Manager at Mopani Copper Mines, praised the swift resolution of the negotiations and expressed gratitude to IRH for its emphasis on employee welfare and efficient negotiation practices. Chiwama underscored the company’s commitment to implementing the incentive bonus scheme, which aims to foster greater employee engagement in the company’s operations.
“We are in the process of introducing an incentive bonus for all unionized employees which will help them to participate in the running of this company,” Chiwama affirmed. Furthermore, Chiwama highlighted the creation of 441 new job opportunities at the mine, with recruitment efforts currently underway, indicating Mopani’s commitment to both its existing workforce and the broader community.
Chiwama concluded by urging employees to continue exceeding expectations in their roles, emphasizing the potential for further incentives and rewards as a direct result of their dedication and commitment to the company’s success.
Main Image: SADC Mining & Construction News
