MNG Gold Mines in Kokoya, Bong County on last Friday, May 31, 2019, confirmed that the company has reduced its workforce by 18 percent (157) in line with the laws and regulations, and the Collective Bargaining Agreement (CBA) to be signed with United Workers Union of in the country.
"They were all employees and the company paid all 157, which is 18% of the total work force, according to the labor standard of the Republic of Liberia. All our contractor workers were never part of the process. What we believe is that even one redundancy is too many and saddening but there are currently 709 employees working at the Kokoyah Gold Mine, over 80% of whom are Liberians, who remain contributing significantly to both local and national economy," the company told the Daily Observer in response to questions sent via email.
"The redundancy was done due to the less-than favourable economic and financial status of the company, coupled with the huge losses the company sustained in November 2018, which the company had to implement further targeted efficiency improvements.
According to the gold mining company, being a world-class business integral to Liberia's economy, the company acts with integrity with the Liberian government and other key stakeholders in the development of solutions for responsible economic growth, leveraging the talent of their employees to contribute to a sustainable future for the communities.
MNG Gold mine Liberia said though the speculation about the company's suspension of its operation in Liberia is not true, what is true is that due to the less than favorable economic and financial conditions the company sustained in November last year, it has to implement further 'targeted efficiency improvements and cost cutting measures at its business units.'
The cost cutting measures are a new production plan is being implemented at Kokoyah Gold mine and over-manned operations are being standardized in line with the industrial requirements and development.
Regarding employees, the Ministry of Labor and the workers union explained the reasons and specifically outlined a winding down schedule severance information and other particulars by the management.
MNG has promised that it will continue to work closely with the staff representatives, the Ministry of Labor, Ministry of Mines and energy along with the United workers union of Liberia to find ways of keeping the number of redundancies as low as possible.
The gold mining company further said it is confident that many of the staff whose posts are being cut will be given priority for future job opportunities.
The company further promised to continue to give all their staff as much help, information and support as possible at this difficult time.