Employees at mines in Zambia, Africa's biggest copper producer, are demanding pay rises of as much as 50% next year.
Mr Chishimba Nkole president of Mineworkers Union of Zambia said that talks with companies began last month and were set to conclude by the end of the year, when the existing wage agreement expired. The talks affected Glencore International which owns Mopani Copper Mine, Vedanta Resources' Konkola Copper Mines and Jinchuan Group's Chibuluma mine. While pay demands at most operations were for increases of less than 50% we feel there is the justification in some cases where the wages are very low for raises of that percentage.
Mr Alexander Chikwanda finance minister of Zambia said that government produced 668,000 tonnes of copper last year ranking it the world's sixth largest miner of the metal. Output of cobalt was 6,600 tonnes placing the Southern African fifth in the world. Zambia's economy would probably grow 7% next year and inflation would not exceed 6% by the end of next year.
First Quantum Power supplier Copperbelt Energy Corporation and China Nonferrous Metals Luanshya mine were also involved. The talks did not apply to First Quantum Minerals where the Zambian Industrial Relations Court in September awarded workers a 13% increases this year and 12% next year.
Source - Bloomberg
