Glencore and Seriti weigh job cuts in SA due to ‘dire’ train situation

Glencore and Seriti Resources Holdings are in talks to cut hundreds of jobs in South Africa as their ability to export coal is stymied by inefficiencies at the state-run freight company.

Glencore started a so-called Section 189 process, beginning consultations with labour on job cuts, according to NUM. The process could affect more than 200 workers at its iMpunzi coal mining complex, online publication News24 reported earlier. The company declined to comment. Lower coal prices have also added pressure on operations. European demand for the fuel surged after Russia’s invasion of Ukraine, pushing prices to $450 a ton but have since dropped by almost two-thirds.

‘Catastrophic proportions’ “Transnet can only address its core challenges to ramp up volumes on its rail networks and ensure a stable operation in the export coal sector,” the company said in a reply to questions. “We are aware of the significant decline in the coal market prices and can only assume that this would have an impact in the number of jobs in the industry.

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