Mopani Copper Mines Grants 13% Pay Raise to Miners in Zambia

Mopani Copper Mines, a major copper producer in Zambia, has granted a 13% pay raise to its miners effective January 1, 2024. The salary increment comes after successful collective bargaining negotiations between the mining company and local labor unions, including the Mineworkers Union of Zambia (MUZ) and the National Union of Miners and Allied Workers (NUMAW).

According to MUZ president Joseph Chewe, the pay raise agreement also includes an increase in the funeral grant from K3,000 to K10,000. The most junior unionized workers will receive a K800 raise, while senior employees will get K1,400. Mopani's employee relations manager, Justin Chiwama, acknowledged the challenging negotiation process but expressed the company's commitment to improving miners' conditions and implementing an incentive bonus to boost morale and production.

The pay increase is anticipated to have a positive impact on the miners and their families, helping them cope with the rising cost of living in the country. Saul Simujika, president of NUMAW, applauded the move and revealed that the mine will employ about 440 more workers. "The increment translates to about a K840 increase for the lowest paid and K1,400 for the highest remunerated employees," Simujika stated.

Why this matters: The 13% pay raise granted by Mopani Copper Mines to its workers in Zambia sets a new standard in the mining sector and demonstrates the importance of collective bargaining in improving workers' living conditions. This development is expected to have a ripple effect on other mining companies in the region, potentially leading to similar pay increases and improved labor relations.

The salary increment is part of a larger agreement between Mopani Copper Mines and its new equity partner, International Resource Holding (IRH). The capital investment by IRH in Mopani is expected to create 441 new jobs in Kitwe and Mufulira. Simujika emphasized IRH's commitment as a responsible partner, while Chewe expressed gratitude to the government and IRH for their collaboration in facilitating the pay raise and additional employment opportunities.

Key Takeaways

• Mopani Copper Mines grants 13% pay raise to miners in Zambia, effective 2024.
• Funeral grant increased from K3,000 to K10,000; lowest paid workers get K840 raise.
• Pay raise agreed after negotiations between company and labor unions MUZ and NUMAW.
• New equity partner IRH to invest in Mopani, creating 441 new jobs in Kitwe and Mufulira.
• Pay raise sets new standard, expected to impact other mining companies in the region.