Chinese ferrochrome miner Xin Yu reopens, lays off 100 workers

Chinese ferrochrome miner Xin Yu reopens, lays off 100 workers

GWERU, May 26 (The Source) – Chinese ferrochrome miner Xin Yu Mining has resumed operations, three months after shutting down its Gweru plant citing high production costs, but has terminated contracts for close to 100 workers, officials said on Tuesday.

Xin Yu Mining began operations in 2010 and is one of the three ferrochrome smelters that are in operation in the country along Zimasco and Afrochine.

Xin Yu Mining reopened on May 16 following an undisclosed fresh capital injection from China, but workers representatives say the company first terminated contracts of 100  employees who are owed $141,000 in unpaid wages from 2011.

The workers committee chairperson, Cynthia Layman told The Source that close to 100 workers were left out in the cold after the company resumed operations.

“When we reported for duty, the security shut us out and told us that our contracts had expired,” said Layman.

“When Xin Yu Mining shut down, the employer told everyone would resume work when the company reopens, but we have been replaced already.”

But Xin Yu operations manager, Kudakwashe Chitakure said the workers’ contracts had expired.

“Contracts are signed a monthly basis,” Chitakure said. “When we reopened, we had to cut down on our labour so as to remain viable,” he added.