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Sunday World reports that over 500 workers at Optimum Colliery are set to retain their jobs as Liberty Coal transitions its mining operations to Liberty Mine Services (LMS), a subsidiary within the Liberty group.
The company announced on Friday that LMS will take over as the principal mining contractor, as the crucial next step in a long-term plan to stabilise the mine. For the workforce, the change comes with a major reassurance that the vast majority of employees will keep their jobs through transfer directly to the new contractor. That stability comes in the form of a so-called Section 197 agreement, which governs the automatic transfer of employees when a business is sold or, as in this case, when a service is insourced.
Liberty Coal said the agreement covered approximately 530 workers currently employed by the outgoing contractors, Salaria and the Veralogix group, and the transition was already underway. According to the company, the first group of employees has been onboarded with LMS, with the remainder set to join the new subsidiary by the end of the month. For employees, the announcement ends a period of uncertainty.
- Read the full original of the report in the above regard by Setumo Stone at Sunday World
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