De Beers, SA union agree on wage deal

JOHANNESBURG – The world’s largest diamond producer De Beers and South Africa’s National Union of Mineworkers (NUM) have agreed on a 7 per cent wage increase, the parties said on a joint statement on Saturday.

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”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