'Exec bonuses fuel rising mining deaths'

18 November 2011 - 03:05 By AMUKELANI CHAUKE
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Mineral Resources Minister Susan Shabangu has called on the R424-billion mining industry to review the way in which it awards performance bonuses, saying the bonuses can drive bosses to increase production at the expense of lives.

Figures presented at a conference yesterday showed that, though the mining industry has enjoyed profitability, shafts are death traps for low-wage employees. Reportedly, 116 workers were killed this year because of mining accidents and "appalling" health conditions.

Speaking at the Mine Health and Safety conference, near Johannesburg, yesterday, Shabangu said her department was reviewing the Mine Health and Safety Act and would strengthen its enforcement to curb the fatality rate.

"I do not understand how mining companies that make billions in profits fail to even buy the latest available and proven ground-movement monitoring and detection equipment.

"I would like to urge [the industry] to apply its mind to the unintended consequences of the current bonus incentive scheme. It is time that this industry stops mindless risks by taking [the safety of] both management and employees [into account]," she said.

According to a presentation by David Msiza, the Chief Inspector of Mines and chairman of the Mine Health and Safety Council, 168 mine workers died on duty in 2009, and 147 last year.

The presentation showed that mining companies, which collectively generated R424-billion in revenue last year, have very low levels of health and safety compliance - making their mines deathtraps.

"Are we perhaps not having a situation where profits and margins matter more than human lives?" asked Shabangu.

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