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Asbestos Relief Trust pays out R250m to 3 600 claimants in ten years

17th May 2013

By: Samantha Herbst

Creamer Media Deputy Editor

  

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The Asbestos Relief Trust (ART) marks its tenth year of existence in July, having provided compensatory relief for mineworkers suffering from asbestos-related dis- eases (ARDs) since July 2003.

The ART has, to date, paid more than R250-million in claims to 3 639 qualifying asbestos workers and their dependants, as well as to claimants who lived near certain mines and suffered from environmental exposure to asbestos.

The trust has processed about 14 500 applications so far, 30% of which represented claimants suffering from compensable ARDs.

ART manager Tina da Cruz tells Mining Weekly that the trust will observe the ten-year milestone by hosting a series of lectures and panel discussions focused on the medical aspect of ARDs in Johannesburg, Cape Town and Kuruman – where most of the trust’s claimants and potential claimants reside.

Details of the events are still being finalised, but Da Cruz can confirm that the lecture series will tap into the minds of experts who have been working with the ART since its inception. She adds that, while the events will seek to inform the general public, it will also target former mineworkers who could be potential claimants.

“This marks an important time in the business cycle of the mining sector to assess the work done by the Asbestos Relief Trust,” comments ART chairperson Piet van Zyl.

He adds that, while the trust has faced challenges in the last decade, it has been able to provide compensation in addition to that provided by the Compensation Commissioner in terms of the Occupational Diseases in Mines and Works Act (Odimwa).

“This is an important medium in terms of how to deal with legacy issues in our mining industry,” Van Zyl avers.

The trust, unprecedented in South Africa, was established as a result of an out-of-court settlement in 2003 with former asbestos-mining companies Griqualand Exploration & Finance Company, or Gefco, and African Chrysotile Asbestos (ACA), which fell under mine holding company Gencor.

The settlement stipulated that the companies compensate former employees, their dependents and communities living in close proximity to their mines who contracted ARDs as a result of the mines’ operations.

“The ART is an effective, efficient and well-run organisation, bringing tangible benefits to communities affected by asbestos mining,” says human rights lawyer Richard Spoor, who represented the mineworkers during the 2003 asbestos litigation case.

Spoor is currently representing more than 17 000 current and former mineworkers affected by silicosis in a class-action lawsuit launched against South African gold mines in December. He highlights the Asbestos Relief Trust as a model for precedence, which might pave the way for the ongoing fight to compensate silicotic mineworkers.

Meanwhile, Da Cruz says the establishment of the ART has been a significant learning curve for the trustees, who have continuously developed the ART’s policies and procedures to give effect to the primary objective of the trust deed – to disperse compensation fully, fairly and as effectively as possible.

One of the biggest challenges faced by the trustees in the last decade has been to ensure the availability of funds for the 25 years the trust has been in existence.

The ART is, nevertheless, actuarially solvent, with a further R306-million – inclusive of investment income – available to provide for future claims likely to be lodged over the next 15 years.

Further, should claims continue to be filed when the life of the trust reaches completion, the trustees will have the power to extend the life of the ART by another five years, provided it still has funds.

Da Cruz tells Mining Weekly, however, that there has been a marked decrease in the number of claims received in each month. She says incoming claims peaked in 2005 and 2006, when the ART received an average of 300 applications a month.

However, the number of claims began to decrease in 2007 and 2008. As a result, the trustees embarked on a claimant outreach programme to find potential claimants.

“Owing to the migrant labour system, we know many workers hailed from neighbouring States, such as Lesotho, Swaziland and Botswana, and, because of this fairly aggressive campaign, we found other potential claimants, particularly in Lesotho,” says Da Cruz.

Currently, the ART is receiving between 10 and 12 new applications a month, some of which are filed by claimants who applied in earlier years but did not have a compensable asbestos- related disease at the time.

Over the years, however, these claimants developed an ARD and are now eligible for compensation.

Moreover, some claimants, who have already received compensation for an ARD, may have since developed cancer. Da Cruz says the trust makes provision for this and will accept an additional claim in such cases.

She adds that most of the claims currently filtering in are for asbestos-related mesothelioma – a rare but aggressive type of cancer affecting the membrane lining of the lungs and abdomen. Unfortunately, owing to the nature of this disease, most of these claimants will pass away within 12 to 18 months of diagnosis.

While the ART has been able to provide compensatory relief for many victims of ARD, Da Cruz says working for the trust has been an emotionally draining job, as many claimants have died in the past ten years.

“There are also many impoverished people in the community who the trust cannot help, as it is beyond our mandate,” she adds.

Da Cruz highlights several asbestos-related issues that need to be managed by government, including the establishment of a dedicated compensation fund for individuals who have developed ARDs as a result of environmental exposure to asbestos, but who do not qualify to claim from existing trusts, which cover only certain former asbestos mines.

“These individuals currently have nowhere to turn to, unless the mining company responsible for the pollution can be brought to book,” she says.

Other issues include the need to rehabilitate primary and secondary sources of asbestos pollution and increase and improve medical surveillance for former asbestos miners and communities living in the vicinity of asbestos mines.

Da Cruz also highlights the need for the State to improve education and disseminate more information about the dangers of asbestos.

Edited by Martin Zhuwakinyu
Creamer Media Senior Deputy Editor

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