Gold producers say wage demands "unaffordable"

Pulse Staff 04:55 - 08 July 2015

Mine workers is seend underground in Modderfontein east mine, outside Johannesburg, February 3, 2009. South Africa's junior miner Aflease Gold said on Tuesday it aims to produce 500,000 ounces of the precious metal per year in five years based on the ...

"Acceding to these demands would threaten the sustainability of our industry, and would jeopardise almost all current jobs," the companies said.

South African gold producers said on Tuesday that union wage demands were "unaffordable" and could add 16.5 billion rand ($1.3 billion) to the sector's wage bill.

The producers, which include AngloGold Ashanti, Sibanye Gold and Harmony Gold, said in a statement that the industry's total wage bill in 2014 was 23.5 billion rand.

($1 = 12.5135 rand)