SHURUGWI—Workers at the New Dawn Mining-owned Golden Quarry Mine have taken their employer to the arbitration court for unilaterally cutting their salaries by 25% citing viability challenges and a slump in gold prices.
In court papers seen by The Source on Monday, Golden Quarry slashed the salaries from July this year, citing an agreement made between management and workers’ representatives.
The employees, through their legal representatives, Kamusasa and Musendo Legal Practitioners, say the company used threats and intimidation to force their representatives to sign the agreement and want the decision set aside.
“If the respondent intends to pay less, it should follow the proper procedures and seek exemption from the National Employment Council for Mining,” the employees said in their submission.
Peter Dzimba of Dzimba, Jaravaza and Associates presided over the case last week Friday, but is yet to make a ruling.
Rejoice Moyo, Falcon Gold’s group human resources manager, represented the mine at the hearing. New Dawn owns Golden Quarry, Dalny and Venice mines through its Falcon Gold subsidiary.
The Canadian-listed junior miner shut down Dalny Mine in August and threatened to close all mining operations in the country citing viability constraints caused by delays in getting its indigenisation plan approved.
The government has since approved an indigenisation plan which will see the company selling 42% of its shares to indigenous groups instead of the mandatory 51%.