Charting mining's future - we have to get it right

Yesterday's presentations in parliament by trade unions on how best to address the problems besetting our ailing mining industry were instructive, even if they failed to get to the heart of the matter.

In its first appearance in the House, militant union Amcu - which almost succeeded in bringing the platinum industry to its knees with a five-month strike earlier this year - placed heavy emphasis on the need to cap executive pay and prosecute mine bosses who defied regulations.

Amcu launched a blistering attack on the principle of setting a minimum membership threshold for a union's recognition by the employer, which it said denied workers the right to join the union of their choice.

The union, which has said it favours nationalising the mines, poured cold water on suggestions that it wanted to buy two platinum mines in Rustenburg that Anglo-American Platinum intends selling. Its main rival, the Cosatu-aligned National Union of Mineworkers, also said it was not interested in becoming a mine owner.

Cosatu has previously said that it favours the ''strategic nationalisation'' of the sector.

Solidarity, by contrast, called for a migrant labour system more favourable to the interests of workers, and the regulation of loan sharks to protect miners' pay. It said there should be less tension between the unions - a sentiment echoed by the Chamber of Mines' chief negotiator, Elize Strydom.

Nationalising the mines, however romantic a notion it might be for some unionists and left-leaning intellectuals, is a non-starter. It would be a disaster for South Africa, accelerating disinvestment and precipitating economic sanctions and a run on the rand that would make its recent slump seem mild.

Far more sensible would be creating policy certainty to encourage investment, increasing the productivity of our mines through share-incentive schemes and enhancing workers' skills, thereby paving the way for their salaries to be increased.

That way, everyone wins.