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The fight over the use of Gupta-linked Optimum Coal mining export allocation took another twist, with labour union National Union of Mineworkers (NUM) bringing an urgent court application, saying over 2 000 jobs were at stake if the situation remained the same.
NUM’s recent application followed another application by business rescue practitioners in which they argued that for the successful rescue of the mine, the mini-pit operations at the mine previously owned by the infamous family should continue to allow it to maintain its expenditures while the National Prosecuting Authority and businessman Daniel McCowan battle it out for the ownership of the mine.
READ: Mineworkers fight for survival of mine formerly owned by guptas
Richards Bay Coal Terminal (RBCT), which handles export allocations, served Optimum with a notice to terminate its exports, leaving the mine with several stockpiles it could not export by the end of January.
RBCT argues that the mining operations, which are currently under business rescue, benefit mini-pit operators instead of the mine itself.
However, in an affidavit filed before the KwaZulu-Natal High Court, NUM provincial secretary Richard Mguzulu paints a different picture.
He said their role as the union was to seek an order which could save over 2000 jobs and the livelihoods of countless more dependents.
He added:
The retrenchment followed the move by the banks to cut ties with the Gupta family, leaving the family and its businesses unbanked.
Mguzulu said many of the retrenched OCM employees were employed by mini-pit contractors.
He stated:
Mguzulu mentioned it was indisputable that the mini-pit employees and the OCM employees were wholly dependent on the income derived from the mini-pit operations, whether directly or as payments in the business rescue.
The union told the court that the affected communities where these employees lived were impoverished.
"The affected NUM members stand to lose their jobs. Right now, as we speak, OCM is precluded one day longer from exporting its coal through the Richards Bay terminal access, which is wholly controlled by RBCT. The affected workers (who are innocent victims) should not have to endure such extreme hardship merely because the main application has not yet been accommodated by the court because of scarce judicial resources. There is a realistic prospect that RBCT’s suspension may, in the end, be interdicted by the court pending the resolution of a contractual arbitral process."
Num has been vocal regarding its stance against the decision taken by RBCT, which it alleged was acting in bad faith. The union held several protests at Optimum, RBCT offices and during the mining indaba early this month.
The court is expected to hear the arguments on Thursday while the main application for the interdict is expected to be heard from March 28 to 31.
