[Lesotho] Mine owner furloughs 400 workers and halves pay

In Lesotho, Southern Africa, the owner of the Mothae diamond mine has put 400 employees on forced leave and slashed their pay in half, Rapaport reports.

According to IndustriALL, the global union, management attributed the temporary layoffs to the slow diamond market in Europe. 

The Independent Democratic Union of Lesotho (IDUL) - an IndustriALL affiliate - reportedly alleged that the salary cuts breach the country’s labour laws.  

IDUL general secretary May Rathakane said, “Mothae diamond mine must respect trade union rights to collective bargaining and refrain from acting unilaterally where workers’ and trade union rights are concerned.” 

The IDUL stated that the mine’s owner broke the law by failing to consult it. The union expressed concern that the mining sector was neglecting workers’ rights and urged the government to intervene to enforce labour standards and protect jobs. 

“Market volatility is not an excuse to withhold full wages,” Glen Mpufane - director of mining and diamonds at IndustriALL - said. “Diamond mining companies must plan for booms and slumps rather than sacrificing workers’ wages.” 

In 2024, Lucapa reportedly sold its 70 per cent stake in the Mothae mine to local mining and construction company Lephema Executive Transport. The Mothae site’s layoffs come during the ownership transition process.  

Source: Rapaport

(Quotes via original reporting)

In Lesotho, Southern Africa, the owner of the Mothae diamond mine has put 400 employees on forced leave and slashed their pay in half, Rapaport reports.

According to IndustriALL, the global union, management attributed the temporary layoffs to the slow diamond market in Europe. 

The Independent Democratic Union of Lesotho (IDUL) - an IndustriALL affiliate - reportedly alleged that the salary cuts breach the country’s labour laws.  

IDUL general secretary May Rathakane said, “Mothae diamond mine must respect trade union rights to collective bargaining and refrain from acting unilaterally where workers’ and trade union rights are concerned.” 

The IDUL stated that the mine’s owner broke the law by failing to consult it. The union expressed concern that the mining sector was neglecting workers’ rights and urged the government to intervene to enforce labour standards and protect jobs. 

“Market volatility is not an excuse to withhold full wages,” Glen Mpufane - director of mining and diamonds at IndustriALL - said. “Diamond mining companies must plan for booms and slumps rather than sacrificing workers’ wages.” 

In 2024, Lucapa reportedly sold its 70 per cent stake in the Mothae mine to local mining and construction company Lephema Executive Transport. The Mothae site’s layoffs come during the ownership transition process.  

Source: Rapaport

(Quotes via original reporting)