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De Beers, NUM agree on 9% wage increase

8th July 2013

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

  

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JOHANNESBURG (miningweekly.com) – Diamond producer De Beers said it had averted a strike at its three South African diamond mines after reaching a 9% wage agreement with the National Union of Mineworkers (NUM) on Friday evening.

The NUM last week issued a 48-hour strike notice for De Beers Consolidated Mines’ Kimberley, Venetia and Voorspoed diamond mines following wage negotiation deadlock.

The NUM was demanding a 13% wage hike for De Beers employees in the A, B and lower C band bargaining units, while the diamond producer offered a 6% increase.

The 9% wage increase would be accompanied by the 25 remaining A Band positions at the Kimberley mine, as well as at De Beers' rough diamond trading arm, the Diamond Trading Company, in Kimberley, being phased out.

De Beers also committed to engage the union on employee housing issues and develop mechanisms to promote home ownership for employees in the ‘gap housing market’ – those between the Government RDP housing schemes and the formal home-loan market.

Edited by Mariaan Webb
Creamer Media Contract Publishing Editor

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