THE OCCUPATIONAL LUNG DISEASE FACILITATION PROCESS. Presented by John Brand 6 February 2017

Transcription

1 THE OCCUPATIONAL LUNG DISEASE FACILITATION PROCESS Presented by John Brand 6 February 2017

2 INTRODUCTION Page 2

3 CONTENT The Gold Working Group The concerns: The legislation The MBOD/CCOD The litigation The facilitation dynamic Some of the challenges Conclusion Page 3

4 THE GOLD WORKING GROUP Was formed in 2014 It brought together six major mining companies: African Rainbow Minerals Anglo American SA AngloGold Ashanti Gold Fields Harmony Sibanye Its aim is to seek a comprehensive and sustainable solution to the concerns about occupational lung disease in the South African gold mining sector The objective of the facilitation is to assist the Working Group to achieve its aim Page 4

5 THE CONCERNS THE LEGISLATION SA has two occupation disease compensation systems One under the Compensation for Occupational Injuries and Diseases Act (COIDA) which in essence covers all workers for all occupational injuries and diseases except mineworkers with occupational lung disease; and One under the Occupational Diseases in Mines and Works Act (ODMWA) which in essence covers mineworkers with occupational lung diseases COIDA is administered by the Department of Labour and ODMWA by the Department of Health Page 5

6 THE CONCERNS THE LEGISLATION COIDA compensation is superior to that of ODMWA because ODMWA pays a lump sum while COIDA pays an earnings based pension and, unlike ODMWA, is compliant with international standards There is therefore general acceptance among stakeholders that there is a need to integrate the two compensation systems The facilitation has for many months been assisting with an engagement process to achieve this and significant progress has been made in finding common ground Page 6

7 THE CONCERNS THE MBOD/CCOD The ODMWA compensation fund is contributed to by mining companies Under-resourcing, weak administration, and the poor quality of claims submissions has negatively affected the rate at which compensable mineworkers have been paid in recent times The Working Group and the Chamber of Mines have been engaging with the Department of Health, the Compensation Commissioner and his team to address these resourcing and administration problems The facilitation has been assisting with this engagement process Page 7

8 THE CONCERNS THE MBOD/CCOD Among other things the process has: Helped create one stop centres for the examination and processing of claimants Assisted in trying to finalise about certified but unpaid claims Assisted in dealing with a backlog of medical examinations by former and current mineworkers This has involved millions of Rand in funding as well as the provision of organisational, technical and personnel support including the secondment of a chief operating officer to the MBOD These efforts are now starting to deliver significant results Page 8

9 THE CONCERNS THE LITIGATION In 2013 the three class applications were consolidated against 32 mining companies including African Rainbow Minerals, Anglo American South Africa, AngloGold Ashanti, Gold Fields, Harmony, Sibanye and their respective subsidiaries Page 9

10 THE CONCERNS THE LITIGATION There are 32 respondent mining companies comprising the following companies and various associated companies each represented by different lawyers: African Rainbow Minerals (represented by Cliffe Dekker Hofmeyer) Anglo American South Africa (Webber Wentzel) AngloGold Ashanti (ENS) Gold Fields (Norton Rose) Harmony (Hogan Lovells) Sibanye (Norton Rose) DRD Gold and ERPM (Malan Scholes) Randgold and Exploration (Van Hulsteyns) Village Main and Buffelsfontein (Tugendaft Wapnick) Page 10

11 THE CONCERNS THE LITIGATION The litigation relates to approximately 80 mines which the respondents either owned or had an indirect interest in as parent companies There have been facilitated engagements for many months between the Working Group Companies and the claimants lawyers in an endeavour to settle the litigation Page 11

12 THE FACILITATION DYNAMIC Mandate Givers Mandate Givers Gold Mining Co.'s Mining Co.'s Other Co.'s Mandate Givers DOH workers Unions DOL Cabinet Parliament DMR NGO s Claimants Lawyers Page 12

13 Other interested parties The Media NGO s 5 Unions SADC States Claimants TEBA IP Capital RMA THE FACILITATION DYNAMIC MOH Minister of Health DOH Department of Health CC Compensation Commission Other Commodities COM Gold Companies CEO s Boards Shareholders Page 13

14 Other interested parties Government The Court THE FACILITATION DYNAMIC Thousands of Claimants Claimants Lawyers Gold Companies CEO s Unions The 6 litigation attorney firms Chamber of Mines & other Commodities The Media NGO s Non-participating Respondent Companies Other interested parties Boards Shareholders Page 14

15 THE FACILITATION DYNAMIC Litigation MBOD / CCOD Legislation Page 15

16 SOME OF THE CHALLENGES The multiplicity of stakeholders The multiplicity and variety of stakeholder interests The multiplicity of issues The complexity of the issues The overlap of negotiations The complexity of the mandating dynamics The magnitude of the costs involved in the process and the outcomes The state of the mining economy The need for expedition Page 16

17 CONCLUSION The process already illustrates what can be achieved by multi-stakeholder mutual gain collaboration Page 17

18 BOWMANS OFFICE CONTACTS Antananarivo T: E: Cape Town T: E: Dar es Salaam T: E: Johannesburg T: E: Kampala T: E: Nairobi T: E: Durban T: E: Follow us Bowmans Bowmans Page 18

19 THANK YOU