Strike May Force Northam Platinum to Cut Jobs

Bloomberg reported that Northam Platinum Ltd. (OTCMKTS:NMPNY) may need to cut jobs as a result of a strike at its Zondereinde division. The strike began on November 3 and since then the company has lost over $20 million.

As quoted in the market news:

‘Northam itself is in a tenuous position,’ Chief Executive Officer Glyn Lewis and General Manager Danny Gonsalves said in the letter. ‘A higher cost base would reduce the company’s profitability, which is already strained by weak economic fundamentals, and will — ultimately — affect jobs.’

Northam is aiming not to cut jobs as part of a settlement, it said. ‘Unlike other miners, Northam has not yet retrenched employees as a means of containing costs and we would hope to continue on that track,’ it said in the letter, addressed to NUM General Secretary Frans Baleni.

Click here to read the full Bloomberg report.