The agreement effective from May this year will see workers earning a monthly minimum basic salary of 3 100 rand.

"The agreement paves the way towards enhancing a partnership that would enable both parties to benefit during the good and bad times," NUM deputy secretary general Archie Palane said in a statement.

De Beers, which controls about two thirds of the world diamond supply, is 45 per cent owned by Anglo American Plc.

Its joint venture operation in Botswana, Debswana, is facing a strike by 5 000 workers.

Wage negotiations between the Botswana Mine Workers Union and Debswana deadlocked in July.

The union is demanding a 16 per cent increase in the cost of living allowance plus a 25 per cent of annual salary as a one-off production bonus.

Debswana has offered a 10 per cent allowance, plus a production bonus of five per cent of annual salary.

De Beers owns 50 per cent of Debswana and the Botswana government the other half.

-Nampa-Reuters

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