18 Feb 2020

Parliament has learnt that BCL group of companies employees are still owed millions after the company was placed in liquidation by order of the high court on October 9, 2016.

The provisional liquidator terminated the employment of 4 346 BCL employees and 705 Tati Nickel Mining Company employees with effect from October 31, 2016.

Minister of Mineral Resources, Green Technology and Energy Security, Mr Lefoko Moagi told Parliament that as at October 31, 2016, a total of P239 million of terminal benefits was due to be paid to former employees of BCL group of companies including BCL Limited and Tati Nickel Mining Company.

“Specifically for former employees of BCL Limited, the amount owed was P167 million,” said the minister.

Minister Moagi explained that for a company placed on liquidation, when employees were owed salaries and terminal benefits, they formed part of the company creditors and like all others creditors, amounts owed were normally settled out of liquidation proceeds.

He said once the process of liquidation was complete, however, in the case of BCL group of companies, out of compassion for former employees and to alleviate their hardships following the sudden loss of jobs, government took the decision to take cession of the employees’ claims (salaries, gratuities, and leave days, notice of leave and pensions).

Minister Moagi further said the liquidator administered the process of paying the salaries and terminal benefits as well as signing of the cessions while the vast majority of the terminal benefits were paid to terminated employees before the end of 2016.

To date, he said a total of P4.587 million remained due to the former employees of BCL and Tati broken where P36 509 of unclaimed terminal benefits for beneficiaries who could not be located and money remained with the liquidator awaiting claimants.

He added that P2.294 million for security deposit payable when former employees vacated BCL houses, P2.237 million for repatriation to cover the cost of relocating former employees currently occupying company housing, and that those former employees could take the cash for repatriation whenever they vacated company houses.

Furthermore, he said former employees who were not happy with their terminal benefits or who believed the company still owed them were at liberty to file claims with the liquidator.

Selebi Phikwe East MP, Mr Kgoberego Nkawana wanted to know when former BCL mine employees would be paid their terminal benefits. ENDS