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More than 400 employees of Master Mine Services (MMS), a Konkola Copper Mines (KCM) contractor have reportedly recieved notices of contract termination.
Vedanta Must Return Community Campaign Movement (VMRCCM) claimed this was due to lack of operations at the mine.
Chishala Mwamba, the Movement Coordinator said this in a statement issued in Chingola on Tuesday.
He stated that as Zambia navigated its way out of an economic downturn and widespread poverty, it was disheartening to observe an increasing number of individuals facing unemployment daily.
“The development of over 400 employees under KCM’s largest contractor having their contracts terminated is particularly troubling,” Mwamba said.
He pointed out that these individuals were set to join the ranks of hundreds more who were currently either unemployed or on forced leave, with no indication of when normalcy would return to KCM.
Mwamba stated that the Minister of Mines and Minerals Development, Paul Kabuswe, had previously indicated that KCM’s legal challenges would be resolved by the end of the first quarter.
“However, as we enter April, a clear resolution doesn’t seem to be in sight. The communities of Chingola and Chililabombwe, which depend heavily on mining for economic sustainability, are feeling the impact of these developments acutely,” he noted.
Mwamba said this situation affected everyone, including children and women whose parents and spouses had lost their jobs.
He added that Chingola and Chililabombwe districts on the Copperbelt Province were currently facing one of the worst crises in years.
“The escalation in the prices of goods and services, soaring crime rates, skyrocketing poverty levels, high unemployment, rampant illegal mining and increasing prostitution are all indicators of a local economy in distress,” Mwamba said.
Read More: Group raises the alarm on further delays on payment of contractors by Vedanta
He called on government to accelerate the scheme of arrangements and processes , allowing Vedanta Resources to assume control of KCM as swiftly as possible.
Mwamba acknowledged that Vedanta Resources had proposed numerous initiatives to revitalise the local economies of Chingola and Chililabombwe.
He identified the initiatives as the US$1 billion investment, US$20 million in Corporate Social Responsibility annually and US$250 million for contractors and suppliers, among other contributions.
“Should the government delay the resolution of KCM’s situation further, we, as community members, will only be assured of more suffering. Immediate intervention is needed,” Mwamba cautioned.
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