Members of the National Union of Metalworkers of South Africa (NUMSA), from the Sedibeng region, picketed outside the offices of the Industrial Development Corporation (IDC) earlier today. We wanted to use the demonstration to highlight critical issues at SA Steel Mills and ArcelorMittal South Africa (AMSA). NUMSA represents approximately 80% of the workforce at SA Steel Mills (SASM) and we are the majority union at AMSA. We handed a memorandum of demands to the IDC, which was received by Mr. Tshepo Ramodibe, the Corporate Affairs Manager at the IDC.
Below is a summary of what is contained in the memorandum:
SA Steel Mills:
NUMSA will not stand by silently while workers are treated as an afterthought in a process that directly affects their lives, families and communities. Workers at SASM have been without proper income and security for an extended period. The business rescue process, which has been underway since July 2024, has been marked by delays, poor communication, and a glaring lack of transparency. The Industrial Development Corporation (IDC) as a key stakeholder and funder must intervene decisively and act in line with its developmental mandate.
- NUMSA’S DEMANDS TO IDC on SA Steel Mills on the ongoing business rescue process:
NUMSA calls on IDC to:
1.1 Support for the implementation of a hardship relief mechanism for affected workers at SASM.
1.2 Support Pro RM as the preferred bidder, whether via going-concern sale, share acquisition, or through ownership flowing from the arbitration outcome.
1.3 Reject Alfeco as a preferred bidder and reject any asset-only proposal that avoids Section 197 and pushes workers to the margins. This is because Alfeco may take as long as 5 years to revive the business and will not guarantee the number of workers to be employed.
As part of the Business Rescue Process the IDC must insist on binding social and labour conditions, including:
1.3.1 A concrete job-creation schedule;
1.3.2 Priority absorption of current SASM workers; and
1.3.3 A joint LABOUR–IDC monitoring forum.
CONCLUSION
SA Steel Mills workers have suffered long enough. The delays, the contradictions, and the disregard for workers’ livelihoods cannot continue. The IDC has a responsibility to protect jobs and ensure that any rescue of SASM serves the public interest.
Workers refuse to be excluded. We demand a credible rescue plan that preserves jobs, restores production, and respects workers’ rights.
We expect IDC to act decisively, transparently, and in line with its developmental mandate. NUMSA remains ready to engage, but we will not hesitate to mobilise when workers’ futures are at stake.
ArcelorMittal South Africa
- NUMSA is aware that the IDC is engaging various interested parties who have expressed an interest in buying AMSA and that the IDC is looking for an equity partner for AMSA.
- Whilst this process is unfolding, the plants at Vereeniging and Newcastle were mothballed at the end of October and workers are sitting at home.
- To make matters worse, we have been informed by our members that AMSA has allegedly stripped the Newcastle plant of its assets, making any possibility of the company restarting its operations virtually impossible. This is very worrying. It also means that the value of the company will be greatly reduced which may have an impact on any future sale.
At the same time AMSA has been ordered by the Labour court to reinstate workers at Vereeniging and Newcastle, but AMSA is planning to appeal that court decision. In the meantime, it is refusing to pay workers their salaries. This has left hundreds of workers and their families in limbo. They have no idea how they will survive the December period without any form of income.
NUMSA condemns the management of ArcelorMittal South Africa for punishing workers!
NUMSA condemns the executive management at AMSA for their cruel, calculated treatment of workers! Workers are being punished by AMSA management for the fact that the union took them to court. They have been using workers to compel the state into giving them more money, but they are giving workers nothing in return. AMSA Shopstewards have repeatedly declared that the management of AMSA have demonstrated a total failure to run the entity. They received enormous financial support from the state, and yet AMSA is in crisis. Clearly the problem is that they are incapable and the sooner they are removed, the better for the future of AMSA!
Our demands on AMSA are as follows:
- NUMSA demands that the IDC must work with us to find a solution to provide financial relief for the families, while a final a decision is being made on the future of AMSA. We must not allow the management of AMSA to make workers suffer!
- NUMSA re-iterates its demand for AMSA to be nationalised and for it to be placed under state control. AMSA used to be ISCOR but was privatized. It makes sense that it must go back to being state owned given the massive management failures at AMSA.
- If the nationalization of AMSA is not an option then NUMSA demands that the IDC must act with speed to find a buyer for AMSA. The longer they take, the crisis will deepen and the management will continue to strip the company of its assets.
NUMSA demands that the IDC must do its own independent verification of all assets at AMSA and take steps to block AMSA from stripping the company of any more assets, as has been alleged by our members. The stripping of assets is a form of daylight robbery and it must be stopped!
- NUMSA demands that any buyer that wishes to buy AMSA must have the backing and the support of labour.
This matter is urgent and this is why we expect a formal written response from the IDC by close of business by Friday 12th of December 2025.
Ends.
For more information:
Phakamile Hlubi-Majola
NUMSA National Spokesperson
083 376 7725 | phakamileh@numsa.org.za
NUMSA Head Office: 011 689 1700
NUMSA Facebook page: https://www.facebook.com/NumsaSocial
NUMSA Twitter account: @Numsa_Media
NUMSA Website: https://numsa.org.za/
PDF DOWNLOAD: NUMSA demands that IDC must urgently intervene at SA Steel Mills and ArcelorMittal South Africa (AMSA)