Debswana OLDM considers worker redeployment, voluntary mutual separation
Lesedi Mkhutshwa | Tuesday October 10, 2023 06:00
Maoketsa outlined the series of adjustments the mining company has undergone, with the most recent occurring in 2020.
As part of the transformation programme to reduce fixed expenses, assets at Orapa, Letlhakane, and Damtshaa were retired. Notably, the over 48-year-old Orapa Mine Plant 1 was permanently closed, and Damtshaa Mine was placed under care and maintenance pending a comprehensive evaluation of its commercial viability.
Crucial to these transformations, according to Maoketsa, has been the collaborative engagement with the union leadership. The company has been working closely with the unions to explore options for mitigating the impact on employees, including redeployment to other areas of the business and voluntary mutual separation. Discussing the retirement of OLDM assets during the awards ceremony, Maoketsa acknowledged the freshness of the issue in people's memories. He emphasised the strength of the relationship between management and union leadership in making strategic decisions for the company.
Despite sentimental attachment, he highlighted the need to prioritise business imperatives and the commitment to ensuring the safety and well-being of employees.
“Amongst the options identified by management and the union Leadership were the possible redeployment of employees to other areas of the business, as well as voluntary mutual separation,” he added. Speaking about bringing up the OLDM retirement during the awards, Maoketsa remarked that as it happened just two years ago, the issue is still fresh in their memories. He continued, "This shows the strength of our relationship between management and the union leadership in making long-term strategic decisions for the company." He went on to say that sentiment was put aside and that the business imperative and commitment to looking out for the safety and wellness of employees prevailed.
Maoketsa provided insights into the decision to close Orapa Mine Plant 1 having started running in 1972, emphasising factors like low profitability, structural deterioration compromising safety, high operating expenses, and costly structural repairs. He revealed that Orapa's production now centres on the existing No 2 plant with increased capacity. “Damtshaa mine on the other hand was currently in the waste mining phase, and due to current market conditions, it had been bringing in marginal cash flow that was outweighed by operational costs. Hence the decision that Damtshaa mine will go into care and were part of this important process where maintenance for an indefinite period,” said Debswana OLDM general manager. The ceremony also recognised the dedication of 144 Debswana OLDM employees, acknowledging their service over 20, 25, 30, 35, and 40 years.