KONKOLA Copper Mines (KCM) has said it is not outsourcing labour but key operational activities which the mining firm says is not an entirely new arrangement.
Head of corporate affairs and company spokesperson, Rahul Kharkar said in a statement released yesterday that in line with current international trends around the world, as well as in some industries within Zambia, KCM had adopted the strategy to outsource a number of activities across its mining and processing operations.
He said in light of recent media reports that had tended to distort the facts, KCM wished to clear the air regarding its strategic decision to outsource aspects of its operations in a move intended to enhance operating efficiencies and to remain competitive.
Mr Kharkar said apart from enhancing production and operational efficiencies, the approach allowed KCM to focus on its core business functions and to spend its limited resources only in areas that were important to its short and long-term objectives.
He said while outsourcing had become a global practice in mining and other economic sectors as one way of improving production efficiency and, thereby reducing costs, it should be emphasised that KCM was not outsourcing labour.
“KCM has in the past worked with many out-source partners in tailings reclamation, concentrator (operations and maintenance), open pits developments, and primary development at Nchanga underground.
“Going forward with the advent of new technology being employed in our operations such SAG mill and ball mill in the new concentrator, and the mechanisation of the new Konkola shaft and the need for high speed development of mining at Konkola, KCM believes that world class contractors working with its employees will produce the desired results, especially in mining and in the maintenance of plants,” Mr Kharkar said.
KCM, the biggest mining investor in Zambia, has lately been embroiled in wrangles with interest groups such as the Mineworkers Union of Zambia over its outsourcing scheme, which has been viewed as disadvantaging local professionals, contractors and suppliers.
[Times of Zambia]
KCM spokeman Rahul Kharkhar is a shameless man to begin with do we need an expertraite to be spokeman for KCM? The Govt should not just dismiss the unions claim that the mining giant is out sourcing then where are the multplier benefits. Unless some officials have been brided and they are prenting that all is well. There could be massive outflight of capital to India through such contracts. Its no longer a secret using wealth from Zambian soil the guys have already build a Konkola University and nobody from govt raised a querry why such an institution was not built in Zambia. As long as our leaders get their pockets lined by these investors we will continue having industrial disputes which in turn will affect productivity. Unless we are told that Zambia has run out mining professionals.
On this one,our goverment is weak,they are hapless to face kcm management that’s why these indians are doing whatever they want. as the situation is on the copperbelt the mmd goverment must as well forget of getting a vote there in 2011
only sata can sort out these indians…
FOREIGN INVESTMENT SHOULD BENEFIT THE INDIGENOUS ZAMBIANS. THE UNIONS ARE RIGHT. THEY ARE MATURE AND WELL ENLIGHTENED AND DO NOT OPPOSE ISSUES JUST FOR THE SAKE OF DOING SO. CAN WE LIBERATE LABOUR PLEASE. GOVT. PLEASE COME IN AND DO SOMETHING. LOOK AT THE PLIGHT OF THE PEOPLE WHO PUT YOU INTO THOSE OFFICES. SOON YOU WILL NEED THEIR VOTE.
MMD and his gang leader sold zambian assets (munali luanshya) for a song pretexting that Zambian people need jobs and these mines use outsourcing labour and chinese and Indian workers
European Union has observed that Zambia is not benefiting from its copper
Connivance with foreign companies
Windfall tax scrapped
Low mineral tax
Transfert pricing with foreign subsidiaries (fqm, mopani) based in tax havens
These crooks are not incompetent
I hope the PACT holds… we need sweep up Zambia after ruling MMD Banda
2004 : the govt (zccm) sold 51% KCM to sterlite(Vedanta) for near $50 million (25 + 4 years * $5,8 million)
2008 : zci sold 28,4% KCM to vedanta for $213 million
today financial analysts evaluate KCM at least $3,6 billion
$2,9 billion part of vedanta 79,4% and vedantaonly only paid $261 million
What marvellous bargain for Vedanta!
Vedanta is going to list kcm on the LSE (and not on the Luse contrary to the will of the govt )
How many Zambian workers will get shares in order to reward the sweat of their labor ????
How many ???
unnecessary to answer… you already know the answer… none of them
kcm wants to reduce costs to the detriment of Zambian workers to make more money for Vedanta by luring investors when kcm will be spun off
What ever terminology that may be used the bottom line is KCM will in the end get rid of responsibilities such as health, education of the miners that will be affected by this move. What is involved here as an example is that if KCM was spending US$10,000,000 in salaries it will only pay the OUT SOURCED ENTITY US$6,000,000 who will also decide what figure to pay those employees who will be taken over by the OUT SOURCED ENTITY. For social services if for example KCM pays US$400 per employee per month and say 300 employees will be affected it will mean KCM will save itself US$120,00 per month. This is what its all about. A practical incidence is where most companies have transferred TMCs(Tea maker Messenger Cleaner) services to some cleaning companies. Here where the TMC was getting closer…
itself US$120,00 per month. This is what its all about. A practical incidence is where most companies have transferred TMCs(Tea maker Messenger Cleaner) services to some cleaning companies. Here where the TMC was getting closer
This punk Rahul Kharkar is lying! One just needs to go to Chingola and Chililabombwe and see the large number of Indians roaming the streets! Nchanga new smelter in Chingola is employing Indian artisans, fitters, riggers, clerks ,crane operators etc! An Indian company called Onshore was contracted for the mechanical work and after completion changed the name to African Superlift Company and was given the maintenance contract. There are a lot of so called Indian engineers expartriates who have come to actually learn the job here! The whole KCM arrangement is a Joke and insults our intelligence at the same time sad for this countries Large poor people who miss out on the countries wealth!
Can you image this happening in SA? Bambuli bashi mine! Take change and destroy you god given assets if you cannot benefit!!
MMD does not care about you!