South Africa’s mining sector is not only a major contributor to the economy, but also an important source of employment, supporting hundreds of thousands of workers directly and millions of livelihoods indirectly.

As the industry evolves, including in response to environmental pressures, technological change, and the transition towards more sustainable mining, there is an opportunity to rethink how mine workers participate in the value created by the companies they work for.

Rethinking the Future of Mine Workers

As Nicola Comninos, CEO of EasyRetire, highlights, "The environmental requirements facing the mining industry require a change in how mine workers are treated, with greater emphasis on creating opportunities for employees to participate in the future of the industry and the wealth it generates."

Mining Dividends Are on the Rise

This is particularly relevant as mining companies continue to generate significant cash flows and increase the dividends returned to shareholders. BHP Group is increasing its upcoming cash dividend by 65%, Gold Fields by 132%, Thungela Resources by 175%, DRDGOLD by 200%, Merafe Resources by 300% and Northam Holdings by 400%.

Implats has also revised its dividend policy, introducing a base dividend equal to 30% of adjusted free cash flow before growth capital expenditure, while retaining the ability to declare additional dividends when appropriate. For FY2026, this translates into R14.45 per share, comprising a R4.90 base dividend and a R9.55 additional dividend.

ESOTs: Connecting Employees to Company Performance

For employees, the benefit of these dividends can extend beyond their salaries. Mining companies with Employee Share Ownership Trusts (ESOTs) can allow qualifying employees to participate in dividends through the shares held by the trust. In this structure, employees do not necessarily own the listed shares directly; instead, the ESOT holds the ownership interest on their behalf and distributes benefits according to the trust’s rules.

Ordinary Shares: An Opportunity Beyond ESOTs

Ordinary shares work differently. An employee who purchases ordinary shares of the mining company personally owns those shares and, provided the relevant requirements are met, receives the dividends declared on them directly.

This means an employee does not necessarily have to qualify for an ESOT to become a shareholder in the company they work for. They can build their own investment portfolio and potentially benefit from dividends and any capital growth associated with their ordinary shares.

Giving Employees Greater Financial Transparency

This is where platforms such as EasyRetire (powered by EasyEquities) can play an important role. "For our EasyRetire clients, including those working in the mining sector, the platform can give employees greater transparency over their retirement savings while also providing access to investment opportunities that allow them to build wealth beyond their retirement fund," Nicola added.

An employee can therefore have visibility over their retirement journey, while, where appropriate, also choosing to own ordinary shares in the company they work for - whether they qualify for an ESOT or not.

From Employee to Investor

The broader opportunity is to move beyond simply viewing mine workers as recipients of a salary and retirement benefit, and towards helping them become more informed participants in the wealth created by the companies and industry they help build.

As mining companies generate stronger cash flows and return more capital through dividends, giving employees transparency, access, and the tools to participate in long-term investing becomes an increasingly important part of creating meaningful financial opportunities.

EasyRetire is the retirement business of EasyEquities and Purple Group, providing regulated retirement fund administration and investment management. It operates under a Section 13B licence and holds CAT I and CAT II FAIS licences, supporting the administration and professional management of members’ retirement investments.

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