‘Holiday’ takes toll on Oranjemund businesses

NAMDEB’S three-month ‘production holiday’ is starting to take its toll on businesses at Oranjemund, some of which have been forced to close shop while their foremost client takes a cost-saving break.

Elzane Oberholzer, an administrator at Oranjemund Electrical Contractors, which does some electrical maintenance work for Namdeb, says there’s no doubt that businesses in Oranjemund are being negatively affected by the production holiday, and notes that some have already left the mining town in search of greener pastures.She says that the company’s income is bound to decrease by at least 50 per cent during the production break, and that the halt is sure to throw budgeting off because Namdeb works on a 60- or 90-day cycle with the business.Asked what the general feeling at the town is, Oberholzer says: ‘There’s very much uncertainty and negativity. We don’t really know what will happen. Everybody is negative, but in God’s eyes we have to try to stay positive and we just hope that things will get better soon.’She says that with regards to Oranjemund Electrical Contractor’s own work, the business is operating in an uncertain environment, not knowing what will become of the maintenance work they are currently doing for the mining giant but trying to remain hopeful all the same.This feeling of uncertainty is not unique to the electrical contractor.Marlene Botha of HFJ Plant Hire says she has no idea how the company’s income might be affected, though she acknowledges that work is getting less, and pricing on its contract with Namdeb has been reduced. She says that at the moment, however, the company’s labour component and salaries remain the same.The Oranjemund operations of J&P International have been more greatly affected, with the company losing two of its four contracts with Namdeb. Its current activity at Oranjemund primarily consists of maintaining all the parks, gardening work, and maintenance of the golf course and various sports fields.Monica Ipinge, Assistant Administrator at J&P in Oranjemund, says that ‘the production holiday is really affecting us because our profits also rely on diamond production,’ noting that income will be highly affected by the production break. She wonders how seriously the town might be affected, given J&P’s ongoing contract function in maintaining the oasis look and feel of this desert town. ‘If everything stops, Oranjemund will end up looking like a desert,’ she says, unaware that this description applies both literally and figuratively.Asked what the general feeling amongst people living in Oranjemund is, her description is certainly dry.’People are really in a state of confusion right now. They are not happy. When you visit the town, you don’t see people around. Everyone looks depressed. When you see them, you start to wonder who has died in their family. That’s the look they carry: like someone has died in the family.’And it seems the desert town could be deserted soon, with Namdeb workers who opted for voluntary separation preparing to leave the town, and those on production holiday planning to take a break outside the mining town. According to sources in Oranjemund, the school will begin its holiday break four days earlier, as many are eager to take their leave as early as is reasonably possible.But it’s not just the Namdeb workers that are leaving town.Some of the bigger businesses and contractors, all of whom acknowledge that the production interruption has affected their businesses, have redeployed some of their staff to areas where their skills could be put to better use. Both Hytec Namibia – a hydraulic sales and servicing company, and Barloworld Equipment have placed employees at other offices, or returned them to their primary headquarters.Sepp Thalmaier, which carries out essential maintenance work such as wear and tear protection, maintenance of conveyor belts, rubber linings for protecting steel, and other work involving rubber and bonding solutions, has been able to maintain its workforce, but is in the ‘fortunate position’ of being able to divert some employees to operations at Rosh Pinah.’We’ve been contracting for Namdeb for 16 years now, and while we are currently overstaffed because there is not much work there, we are trying to keep staff for as long as possible,’ says Marianne Thalmaier of Sepp Thalmaier. She notes that the toll on businesses really began in December when Namdeb started cutting production.Thalmaier says that the company’s skeleton staff at Oranjemund is being maintained at the mining town in case any maintenance work needs to be carried out, and says that while the current situation is a sad one, she remains positive about the future. ‘I see the Namdeb’s production holiday as an interim solution. I really don’t see them closing completely,’ she says of the mining company.Like Sepp Thalmaier, Oranjemund Electrical Contractors has also been able to redirect some of its staff to its operations at Rosh Pinah.And redeployed workers should count themselves amongst the lucky ones, because retrenchments are also taking place. At Karibib Mining & Construction’s operations in Oranjemund, 150 workers were retrenched in December when the contract agreement with Namdeb came to an end as a result of the operational cuts made at that time. The company, which was hiring out labour to its subcontractor, had to let go of its staff, and is no longer working at Oranjemund.nangula@namibian.com.na