PERTH, WESTERN AUSTRALIA--(Marketwire - May 16, 2012) - Paladin Energy Ltd. (PDN.TO - News)(PDN.AX - News) (Paladin or the Company) is pleased to advise that, after a meeting with the Local Staff Association (LSA) and government officials on Tuesday evening, an agreement in principle was successfully achieved for a return to work by the striking Malawi employees.
The LSA will present the agreed proposal to the striking workers in Karonga with a recommendation to return to work forthwith. It is expected this recommendation of the LSA to return to work will be accepted and this will be confirmed by midday local time Wednesday 16 May (6.00pm Perth time). Paladin will provide transport for the night shift to start work and full production is expected to resume from the commencement of the night shift at 5 pm local time on Wednesday, 16 May (11.00 pm Perth time).
Under the terms of the agreement, employees will drop demands for an immediate 66% salary increase to compensate for the 50% devaluation of the Kwacha and setting of local salaries pegged to USD. Paladin has undertaken that there will be no job losses in respect of the current industrial action and has agreed to review local salaries in six months' time in light of CPI post the devaluation of the Kwacha.
ACN 061 681 098