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Bayside verdict sad but inevitable

Bayside Smelter was one of Richards Bay’s founding industries.

THE analogy of a gangrenous limb being amputated to prevent the whole body from becoming infected and dying, applies to the announcement that the potlines at BHP Billiton’s Bayside smelter will be shut down.

The decision announced on Thursday came as no surprise and had been prophesied for some time.

During a public stakeholder meeting at the end of last year, BHP Billiton spelt out very clearly that the aluminium industry in general and Bayside Smelter, in particular, were in trouble.

Rising input costs coupled with lower market prices meant that all but the most modern smelters were operating marginally.

Some, such as Bayside – now some 20 years beyond its anticipated lifespan – were losing money at a rate that rendered it an incurable patient.

But, as with a person who has been on a terminal sick bed for a length of time, the eventual passing still comes as a shock.

There is, beyond the obvious reality of job cuts and negative business consequences for local suppliers and contractors, the element of sentimentality at losing this ‘loved one’.

Bayside Smelter was one of Richards Bay’s founding industries.

It began as a state-of-the-art facility and when it was found with time to no longer be competitive, it was revamped and upgraded with regard to product quality and output, worker safety and environmental conformity.

There are many in the city whose entire adult working life has been spent at Bayside – no wonder a number of tears were shed at the announcement.

Now begins the process of negotiating with unions and with staff on an individual level, a heart- ore process.

There is also the massive task of decommissioning the potlines in an environmentally-friendly manner.

Ironically, this in itself is a huge multi-million rand project which will require plenty of labour and inject considerable financial benefit into the local community.

We welcome the fact that the Bayside cast house, where molten aluminium will be delivered from Hillside, will continue to operate and its future may well be enhanced by looking at more options in the downstreaming domain.

The release of a huge quantity of electricity to the national power grid is of course a blessing for the national economy, but this is of little solace to those employees who will lose their jobs and whose lives and families will suffer.

Our thoughts go to them, and to the BHP Billiton leadership who must manage the tough process.

They should be congratulated for playing open cards with their staff, vendors and the community at large.

One Comment

  1. What will happen to the contractors that were working for php? What could be the compansation for them?

 
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