A case of Lonmin noncompliance with social labour plans and minister of mineral resources

THE MINING FORUM OF SOUTH AFRICA//DEPARTMENT OF MINERAL
RESOURCES//LONMIN PLC TRIAL DATE FOR COURT HEARING THAT WILL
ENSURE JUSTICE FOR THE PEOPLE OF MARIKANA – A CASE OF LONMIN’S NONCOMPLIANCE
WITH SOCIAL LABOUR PLANS AND MINISTER OF MINERAL
RESOURCES’S FAILURE TO ENSURE COMPLIANCE IN THE MAFIKENG HIGH
COURT, NORTH WEST PROVINCE, SOUTH AFRICA -26 OCTOBER 2018 (10H00)

The Mining Forum of South Africa (MFSA) is an organisation that seeks to be an agent of
transformation in the mining industry of South Africa through ensuring that mining entities
fully implement the Mining Charter, Mineral Petroleum Resources Development Act
(MPRDA) and their Social Labour Plans (SLPs).
The Mining Forum of South Africa (MFSA) invites all media houses in South Africa to come
and witness the hearing of the matter in the Mafikeng High Court. The matter has been
set down for hearing on the 26th October 2018. These proceedings are in the public’s
interest, and in line with the spirit and purport of constitution of South Africa, to know
about the justice of Marikana people.
This application, as brought by the MFSA, seeks to ask the court(s) to compel the Minister
of Mineral Resources to act against Lonmin Plc for non-compliance with the commitments
made in its Social Labour Plans. This comes after the Department of Mineral Resources
conducted inspection audits on the 10th and 11th of August 2017 on Lonmin’s Social

Labour Plans, wherein the Department found that Lonmin failed to comply with its
obligations committed in its 2014-2018 SLP. Lonmin has failed to fulfil its SLP’s
obligations, inter alia, in terms of Housing, Local Economic Development, Human
Resource Development, Employment Equity and Procurement. Subsequent to the audit
findings, the DMR addressed a notice in terms of Section 93(1)(b)(i) of the Mineral and
Petroleum Resources Development Act (MPRDA), 28 of 2002, to Lonmin. On the 28
November 2017, the DMR suspended the mining activities of Lonmin with immediate
effect, but nonetheless Lonmin ignored the instruction and continued its business as
normal.
The MFSA charge that Lonmin has not complied, fulfilled its commitments and/or
undertakings in terms of the Social and Labour Plans and that the Minister has failed to
take reasonable steps to enforce the social contract concluded between Lonmin and the
people of South Africa, which amounts to a breach of the Minister’s executive
responsibility. The Minister is in breach of section 25 of the Constitution in that the
Minister arbitrarily took-away the right to insist on the fulfilment with the Social and
Labour Plans, by September 2018, as Lonmin was obliged to do.
Lonmin has continuously and systematically failed to comply with its Social and Labour
Plan (SLP) obligations for the last decade (two SLP cycles) and has repeatedly broken its
legal binding commitments to communities who live in poverty. Life in the informal
settlements (communities) around Lonmin’s operations is dire. There is no proper
housing, proper sanitation, proper roads, and accessible and reliable running water and
electricity. The air and groundwater in the local communities are polluted by the
operations of the mine.
We place on record that, the intolerable social and economic conditions that communities
surrounding Lonmin’s operations endured, could have been better addressed had Lonmin
complied with its commitments in its SLPs. It should be noted, that, the living conditions
of workers and the broader community, especially when contrasted with the wealth
generated by the mine, led to the MFSA approaching the High Court of Mafikeng.

Contact person: Mr Terance Kgokolo (Secretary General)
Mining Forum of South Africa (MFSA)
Email: miningforumsa@gmail.com
Contact details: 067 088 7991/ 078 592 2012

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