Mining company Sibanye has defended its decision to retrench over 12 000 workers saying it’s part of its process to merge with Lonmin. In its submission to the Competition Tribunal, Sibanye has warned that more jobs could be lost if the merger is not approved.
Lawyers representing Sibanye have appealed to the Competition Tribunal to approve the merger in order to save cash-strapped Lonmin.
This appeal comes after the Competition Commission agreed to approve the merger between the two mining companies.
Sibanye’s lawyer Alfred Cockrell says, “We say the case for public interest is overwhelming – why, if the merger doesn’t go through there are two possibilities for Lonmin. The one is Lonmin goes over the cliff, it simply runs out of money and puts itself in business rescue and everyone loses their jobs including contractors.”