Botswana Diamond Manufactures Lay Off Workers

The economic fallout is reaching all the way down to line workers in Africa’s diamond producing countries, as miners and manufacturers are curtailing and sometimes even closing their operations. According to a recent report, an estimated 1,800 people have lost their jobs in Botswana’s diamond mining and mining related industry.

The Botswana press reported that eight cutting and manufacturing companies have retrenched 441 workers. According to a report that appeared in Mmegi, the manufacturers are Diamonds Manufacturing Botswana, DDA of Botswana, Suashish Diamonds Botswana Steinmertz Diamonds Botswana, Leo Schachter Botswana and Lazare Kaplan Botswana. In addition to them, DTC Botswana has reportedly laid off a number of workers.

Most of these cutting and manufacturing companies opened their operations in Botswana as part of the local beneficiation effort to generate more of the diamond revenues in Botswana. Many of diamond manufacturers have received local rough diamond allocations to provide the local work.

But with limited demand in the global market for polished diamonds and falling prices for those goods that are traded, diamond manufacturing around the globe has taken a blow, and everywhere workers are losing their jobs.

In addition to the hurting manufacturing operations, many local diamond miners have limited their output, leading to an additional 1,400 job losses. So far, nine mining and exploration companies have retrenched workers this year: DiamonEx, BCL, Moolman, Mowana, Gope Exploration, Mine Tech, Mupane Gold Mine and Dewet Drilling.

The number of job losses is expected to increase if Debswana will cut jobs as well. The company is currently in negotiations with worker unions over the issue.

The number of job losses is expected to increase if Debswana will cut jobs as well. The company is currently in negotiations with worker unions over the issue.