Uranium miner Paladin (Africa) Limited has retrenched 18 Malawians and four expatriates at Kayelekera Uranium Mine in Karonga, an internal memo issued on Friday, March 31 2017 to all employees said.
The memo signed by the general manager (operations) Alec Sharland said the development follows the suspension of production at the mine three years ago.
“The Company currently has no revenue and due ti the continue down turn in the Uranium market it is now necessary to review activities and take further cost reduction measurers,” reads the memo.
It said some of the jobs would no longer be required since the mine is no longer producing uranium and the company could no longer afford to keep everyone employed.
“Those people doing jobs that are no longer required/essential at the moment must unfortunately be retrenched,” it reads.
“Against this background, 18 Malawian nationals will be retrenched as of 30 May, 2017. The decision has also resulted in the termination of four expatriate employees.
“We fully understand the implications to the employees concerned and the emotional stress that results from a decision of this nature. This is not an easy decision and we do not take it lightly. The payments for employees who are leaving will be generous and will be explained to those concerned in more detail.”
In the meantime, Sharland said Paladin would maintain the plant and equipment as it awaits resumption of production once global uranium prices stabilise.
The company has advised the Ministry of Labour of this move and informed the Kayelekera Local Staff Association (LSA), which represents national employees and notified its workforce.Follow and Subscribe Nyasa TV :