Pula Steel sends 190 workers on unpaid leave

Thursday, July 07, 2016

Cash strapped: Pula Steel has not produced since early June

SELEBI-PHIKWE: Pula Steel has placed 190 employees on unpaid leave due to the administrative closure of the company by the Department of Waste Management and Pollution Control.

The unpaid leave is effective from July 1 to July 30. The company management explained in an interview that the closure has aggravated their already weak current financial situation and placed the company in a position where it cannot meet its financial commitments.

The closure means that the company is losing 100 tonnes per day of production and P70,000 a day towards fixed costs and has a negative effect on gross profit amounting to P100,000 a day.

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