Introduction South Africa is one of the world and Africa’s leading gold producers. Due to the changes in ownership structures, gold mining has been earmarked as the prospective venture for empowering the native Africans. Harmony gold mining company has been at the fore front in championing for empowerment initiatives. It is owned by African Rainbow Minerals (De Kiewiet, 1978 p. 357). There has been dwindling quantity of gold produced from the South African gold mines with the production falling by 6.5% to 373, 074 kg in 2003. In 2003, gold accounted for 37% of the South African export revenue. Gold production in China has since surpassed the South African production capacity. Larger percentages of South African gold mines are underground. Increased mining depths and decline of quantities explored, has led to increase in price of products made from gold. This has led to restructuring of operations and hence retrenchment of workers (De Wet and McAllister, 1985 p.556). On several occasions, South African gold mining sector has been hit by poor gold prices, a strong Rand, and high operation costs. This research paper will focus on the sufferers and beneficiaries in South African gold industry. It will discuss the implications to the workers and mining companies particularly in the historical, social and economic perspectives. Sufferers History The discovery of gold in South Africa in 1896 was prompted by diamond exploitation in Northern Cape. The aftermath of the discovery ushered a massive exodus of expatriates from Britain into South Africa where they were joined by semi skilled laborers from New Zealand, Australia and Canada (De Kiewiet, 1978 p. 340). Laborers then started streaming into regions where there were prospects of striking gold. Gold miners stayed in compounds where they were segregated into ethnic groups. They were contracted for 18 months with the possibility of renewing these contracts being very slim. Source areas for these miners fell into three political categories including men from Mozambique in black homelands, men from former High Commission including Botswana, Lesotho and Swaziland and men who came from territories regarded as foreign countries like Tanzania. The fact that labor in the gold mines entirely came from southern Africa region meant no prospects for laborers rising up the skills ladder hence retardation. This was further complicated by color barriers (South Africa Services, 2005 p. 23). Witwatersrand Labor Organization in 1900 was given the power to recruit laborers in Mozambique, the main source of labor. The wars of 1899-1902 lowered demand for black labor leading to loss of approximately 100, 000 jobs. The colored labor was considered as a source of labor but was never employed in the gold mine. This was according to structures that were set up by WNLA. In 1899 alone, two thirds of labor in the gold mine came from Mozambique, followed by Transvaal and the Cape. By 1903, the black labor force halved down from 1899 figure of 90,000. Native Recruiting Corporation was formed in 1912 to help in cooperative recruitment exercise of workers. At this time Mozambique was still the chief source of labor in the South African gol