Assmang to close Cato Ridge smelter, over 500 jobs to be lost
Image: Suppled
Assmang Proprietary Limited has confirmed the permanent closure of its Cato Ridge Works (CRW) Ferromanganese Smelter in KwaZulu-Natal, with close to 600 employees set to lose their jobs.
The closure will take effect on August 31, 2025.
Assmang, jointly owned by Assore South Africa and African Rainbow Minerals, said the decision followed a "structured and comprehensive consultation process" in line with Section 189 of the Labour Relations Act.
"Assmang has resolved to permanently close the business and operations of its Cato Ridge Works Ferrochrome Smelter (CRW) in KwaZulu-Natal. All affected employees will be retrenched effective 31 August 2025". The company said.
"This decision was reached after a comprehensive review of the Smelter's operational and financial position".
Assmang added that despite "nonstop efforts to explore alternatives to closure, the operation has continued to experience significant financial losses, which rendered CRW unsustainable".
"These losses have been caused primarily by prolonged weaknesses in global manganese alloy prices and escalating input costs, particularly electricity, which has increased by over 930% since 2008. The recent announcement of a potential electricity tariff reduction will not be sufficient to rescue this business".
Video Player is loading.
Play Video
Play
Unmute
Current Time
0:00
/
Duration
-:-
Loaded :
0%
Stream Type LIVE
Seek to live, currently behind live
LIVE
Remaining Time
-
0:00
This is a modal window.
Beginning of dialog window. Escape will cancel and close the window.
Text Color White Black Red Green Blue Yellow Magenta Cyan
Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan
Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan
Transparency Transparent Semi-Transparent Opaque
Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps
Reset
restore all settings to the default values Done
Close Modal Dialog
End of dialog window.
Advertisement
Next
Stay
Close ✕
Ad loading
Around 310 permanent and 290 contract workers will be retrenched by 31 August 2025.
Assmang said they will transfer the Cato Ridge site and surrounding land to Assore South Africa, which plans to redevelop it into a commercial and logistics hub to stimulate future economic activity.
"In partnership with Siyakha Consulting, Assmang is offering affected employees access to wellness programs, financial planning & budgeting, CV writing, employment seeking opportunities, reskilling program options, and entrepreneurship skilling".
mthobisi.nozulela@iol.co.za
IOL Business Get your news on the go, click here to join the IOL News WhatsApp channel
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
IOL News
a day ago
- IOL News
Assmang to close Cato Ridge smelter, over 500 jobs to be lost
Assmang Proprietary Limited has confirmed the permanent closure of its Cato Ridge Works (CRW) Ferromanganese Smelter in KwaZulu-Natal, with 600 employees set to lose their jobs. Image: Suppled Assmang Proprietary Limited has confirmed the permanent closure of its Cato Ridge Works (CRW) Ferromanganese Smelter in KwaZulu-Natal, with close to 600 employees set to lose their jobs. The closure will take effect on August 31, 2025. Assmang, jointly owned by Assore South Africa and African Rainbow Minerals, said the decision followed a "structured and comprehensive consultation process" in line with Section 189 of the Labour Relations Act. "Assmang has resolved to permanently close the business and operations of its Cato Ridge Works Ferrochrome Smelter (CRW) in KwaZulu-Natal. All affected employees will be retrenched effective 31 August 2025". The company said. "This decision was reached after a comprehensive review of the Smelter's operational and financial position". Assmang added that despite "nonstop efforts to explore alternatives to closure, the operation has continued to experience significant financial losses, which rendered CRW unsustainable". "These losses have been caused primarily by prolonged weaknesses in global manganese alloy prices and escalating input costs, particularly electricity, which has increased by over 930% since 2008. The recent announcement of a potential electricity tariff reduction will not be sufficient to rescue this business". Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading Around 310 permanent and 290 contract workers will be retrenched by 31 August 2025. Assmang said they will transfer the Cato Ridge site and surrounding land to Assore South Africa, which plans to redevelop it into a commercial and logistics hub to stimulate future economic activity. "In partnership with Siyakha Consulting, Assmang is offering affected employees access to wellness programs, financial planning & budgeting, CV writing, employment seeking opportunities, reskilling program options, and entrepreneurship skilling". IOL Business Get your news on the go, click here to join the IOL News WhatsApp channel
IOL News
a day ago
- IOL News
RAF CEO intends to appeal against suspension ruling in court battle
Collins Letsoalo, suspended RAF CEO will appeal the judgment not lifting his suspension Image: File Suspended Road Accident Fund (RAF) chief executive Collins Letsoalo has hit back at the judge who refused to lift his suspension, citing nearly 40 points in which he claimed the judge had erred in his judgment. Letsoalo has applied for leave to appeal against last month's judgment in the Gauteng High Court, Pretoria. In a scathing judgment, Judge Nasious Moshoanathe said Letsoalo's application was deemed vexatious. He found Letsoalo's suspension effected by the RAF Board earlier this month to be lawful, rational, and reasonable. While the judge had some harsh words regarding Letsoalo's earlier urgent application, the suspended CEO will again have to face the judge in court, as Judge Moshoanathe will have to decide on whether to grant him leave to appeal or not. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading In slapping Letsoalo with the legal costs, the judge last month said: 'The present litigation is aimed at protecting pecuniary interests as opposed to protecting a constitutional right. This court takes the view that the present application is frivolous and vexatious. Mr Letsoalo, for very selfish reasons, it seems, disavowed adequate and substantial remedies available to him in terms of the LRA (Labour Relations Act).' In his leave to appeal application, Letsoalo remarked that the judge was biased from the start, and Letsoalo had the reasonable apprehension that the judge was assisting the respondents, being the RAF and its board. He said most of the issues the court had decided upon in its judgment were raised by the court itself and not by the respondents. In his notice for leave to appeal, Letsoalo made an issue of the fact that the court did not find that there was no resolution by the RAF Board to appoint the firm of attorneys which had represented them in court. His counsel during legal arguments in the main application said the matter should have proceeded on an unopposed basis. In one of his many points where he felt the court had erred in turning down his application, Letsoalo said the judge chose to ignore his entire version as to why his suspension was unreasonable and irrational. He also objected to the judge slapping him with the legal costs and for not accepting the argument made by his counsel that this was a constitutional matter, thus he should not face the financial consequences of losing the legal battle.
IOL News
2 days ago
- IOL News
Collins Letsoalo challenges suspension ruling in high-stakes appeal
Collins Letsoalo, suspended RAF CEO will appeal the judgment not lifting his suspension Image: File Suspended Road Accident Fund (RAF) chief executive Collins Letsoalo has hit back at the judge who refused to lift his suspension, citing nearly 40 points in which he claimed the judge had erred in his judgment. Letsoalo has applied for leave to appeal against last month's judgment in the Gauteng High Court, Pretoria. In a scathing judgment, Judge Nasious Moshoanathe said Letsoalo's application was deemed vexatious. He found Letsoalo's suspension effected by the RAF Board earlier this month to be lawful, rational, and reasonable. While the judge had some harsh words regarding Letsoalo's earlier urgent application, the suspended CEO will again have to face the judge in court, as Judge Moshoanathe will have to decide on whether to grant him leave to appeal or not. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ In slapping Letsoalo with the legal costs, the judge last month said: 'The present litigation is aimed at protecting pecuniary interests as opposed to protecting a constitutional right. This court takes the view that the present application is frivolous and vexatious. Mr Letsoalo, for very selfish reasons, it seems, disavowed adequate and substantial remedies available to him in terms of the LRA (Labour Relations Act).' In his leave to appeal application, Letsoalo remarked that the judge was biased from the start, and he (Letsoalo) had the reasonable apprehension that the judge was assisting the respondents (the RAF and its board). He said most of the issues the court had decided upon in its judgment were raised by the court itself and not by the respondents. In his notice for leave to appeal, Letsoalo made a big issue of the fact that the court did not find that there was no resolution by the RAF Board to appoint the firm of attorneys which had represented them in court. His counsel during legal arguments in the main application said the matter should have proceeded on an unopposed basis. In one of his many points where he felt the court had erred in turning down his application, Letsoalo said the judge chose to ignore his (Letsoalo's) entire version as to why his suspension was unreasonable and irrational. He also objected to the judge slapping him with the legal costs and for not accepting the argument made by his counsel that this was a constitutional matter, thus he should not face the financial consequences of losing the legal battle.
