Why did Glencore cancel its planned job cuts at its South African ferrochrome smelters?

Glencore cancelled its planned layoffs of up to 1,500 workers after the National Energy Regulator of South Africa approved a 54% discount on electricity tariffs for the ferrochrome industry, reducing the cost to 0.62 rand ($0.0382) per kilowatt hour — a move Merafe Resources described as 'a further step towards stabilising operations and progressing the phased restart of the business.'

What was the immediate trigger for Glencore’s ferrochrome unit suspending production and initiating job cuts in 2025?

Glencore’s ferrochrome joint venture Merafe Resources suspended production at its Boshoek, Wonderkop and Lion smelters in May 2025 due to viability problems caused by soaring electricity costs — which have risen tenfold since 2008 — and subsequently began job cut proceedings in September 2025.

Glencore Cancels Planned Job Cuts at South African Smelter After Electricity Deal

Jun 1, 2026

Glencore scrapped plans to cut 1,500 jobs at its South African ferrochrome unit following regulatory approval of discounted electricity tariffs. The 54% power cost reduction supports stabilizing operations and restarting suspended smelters amid high energy expenses.

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