BCL mine workers’ salaries have been paid late for many months presumably because the mine is experiencing cash flow problems. The causes of the financial crisis are reportedly by and large attributed to imprudent management and improper planning and less by the fall of commodity prices in the international market especially the slow growth of the Chinese economy. Reports from the mine workers are that monthly payments to creditors deducted from their salaries appear to have been effected but the money doesn’t reach the concerned financial institutions. In other words, pays lips show deductions but banks and other creditors complain to workers about failure to pay monthly instalments. The effect of this is that it leaves a bad debt record for the workers and ruin future relations. Some allowances such as utilities allowances are erratically paid by the mine.
There are also lamentations about the decline of occupational health and safety standards; many workers have died and seriously injured in the recent past in mine accidents. In one case there is actually an inquest. Last year during winter season there was a big smelter refurbishment of the smelter plant. The delay in completion of the project is also cited for exacerbating the company’s financial difficulties. However, there are currently problems with the smelter as it is not properly functioning and the associated costs are huge; the repair and delays in smelting.
