New dawn for communities and workers
Kangra, a subsidiary of Canyon Coal, hosted a celebration on 2 May 2019, to officially announce the allocation of 5% free-carried shares to workers and local communities, respectively.
Workers were given a day off to be part of the celebration with the mine managers and local community members, which included a delicious lunch and entertainment by local dancers.
Canyon Coal and Kalyana Resources Director Rudzani Mudogwa explains that the inclusion of workers and local communities as shareholders in the mine is hugely significant as it made Kangra the first mine to allocate shares to workers and communities since the Mining Charter III was gazetted. The charter requires mining companies to allocate shares to workers and communities.
Billed as the ‘Kangra New Beginning’, the event was held near the mine, which is located in the Mkhondo municipality. The municipal leaders, traditional authority leaders and other community leaders joined the celebration.
Canyon Coal Chairperson and Menar Managing Director Vuslat Bayoglu presented symbolic certificates to signify the 5% allocation. The shares will be held under separate trusts. “In the next few months, the legal process to give effect to the allocation will be concluded, but we thought we should make our intentions firmly clear right from the start so that you can assess us against our undertaking,” he said during the event.
Speakers at ceremony lauded the initiative, saying it laid the foundation for the redefinition of the relationship between workers, community and the new mine owners.
“I was part of the team that consulted the mineworkers and community’ representatives in the lead up to the event. We explained to them that the shareholding would require all parties to work together with the mine to ensure that everyone tastes the fruits of success - once the mine starts making profits,” states Rudzani, who also notes that, the consultation process took around seven months to ensure that all stakeholders were engaged in the discussions.
“There is stability at the mine now because all parties understand that Kangra belongs to all parties involved,” says Rudzani.
Unyezi Coal – a Menar group subsidiary and holder of mining rights previously held by Kangra, in Utrecht, KwaZulu-Natal – Director Bongani Khumalo points out that the shareholding will strengthen relations between local communities, mineworkers and Kangra.
However, he stressed in his speech that, “we should be careful of people that want to mislead community members and workers. Community and mineworkers know that causing damage to the mine, or trying to hold the mine to ransom is not in their best interests. It is important that all shareholders know that they have an obligation to protect the mine and its people”.
The importance of mutual understanding was also echoed by NUM local leader Isaac Mbonani who thanked Menar for giving shares to workers and the company’s willingness to address the concerns of the employees. “We welcome the new beginning of Kangra and we hope the new shareholders will keep their promise,” he said.
Kangra aims to ensure it implements employment equity targets at management level and review them on a regular basis. On capital goods, services and consumables Kangra pledges to give preference to historically disadvantaged South African (HDSA) companies on a progressive basis through capacity development programmes. Kangra will endeavour to employ from local communities and provide access to training opportunities.
“I was part of the team that consulted the mineworkers and community’ representatives in the lead up to the event. We explained to them that the shareholding would require all parties to work together with the mine to ensure that everyone tastes the fruits of success - once the mine starts making profits,” states Rudzani, who also notes that, the consultation process took around seven months to ensure that all stakeholders were engaged in the discussions.
“There is stability at the mine now because all parties understand that Kangra belongs to all parties involved,” says Rudzani.
Unyezi Coal – a Menar group subsidiary and holder of mining rights previously held by Kangra, in Utrecht, KwaZulu-Natal – Director Bongani Khumalo points out that the shareholding will strengthen relations between local communities, mineworkers and Kangra.
However, he stressed in his speech that, “we should be careful of people that want to mislead community members and workers. Community and mineworkers know that causing damage to the mine, or trying to hold the mine to ransom is not in their best interests. It is important that all shareholders know that they have an obligation to protect the mine and its people”.
The importance of mutual understanding was also echoed by NUM local leader Isaac Mbonani who thanked Menar for giving shares to workers and the company’s willingness to address the concerns of the employees. “We welcome the new beginning of Kangra and we hope the new shareholders will keep their promise,” he said.
Kangra aims to ensure it implements employment equity targets at management level and review them on a regular basis. On capital goods, services and consumables Kangra pledges to give preference to historically disadvantaged South African (HDSA) companies on a progressive basis through capacity development programmes. Kangra will endeavour to employ from local communities and provide access to training opportunities.
