Kagem Mining and Unions Secure Collective Agreement for 2024/2025
Kagem Mining Limited (Kagem) and the Mine Workers Union of Zambia (MUZ), along with the National Union of Miners & Allied Workers (NUMAW), have successfully concluded negotiations, reaching a collective agreement for employee pay increases and enhanced benefits for the years 2024 and 2025.
Under the terms of the agreement, unionised employees at the emerald mine will enjoy a 10% pay increment in 2024, followed by an additional 10% in 2025. The accord also includes a notable rise in the education allowance, increasing from ZMW 1,500 to ZMW 2,000.
Negotiations, which took place with Kagem’s Head of Human Resources, Dr Wesley Chishimba, representing the management team, George Mumba, General Secretary of MUZ, and Saul Simujika, President of NUMAW, were deemed successful. The agreement is set to take effect in January 2024.
George Mumba, General Secretary of MUZ, expressed appreciation, stating, “We want to thank Kagem and the unions for ‘walking the talk,’ as you have fulfilled the obligations of the packages agreement before it expired.
It is gratifying to see that within the desired period we were able to conclude the negotiation.”
This new pay increase agreement follows the 2022 agreement, where Kagem agreed to raise the company pension contribution from 20% to 25% of basic pay, resulting in an effective salary increase of 15% for 2022 and 2023. Kagem has successfully fulfilled these commitments.
Kagem’s General Manager, Adriaan Prinsloo, expressed delight, saying, “We are delighted to have reached a mutually acceptable agreement with the unions and offer a salary increase that rightfully recognises the productivity and teamwork of our employees, and their part in helping to maintain the mine’s success.”
He added, “Kagem is committed to looking after its employees and providing a positive local impact, ensuring that Zambian emeralds benefit the people of Zambia.”
As one of the world’s largest emerald producers, Kagem is 75% owned by Gemfields and 25% by the Zambian Government’s Industrial Development Corporation (IDC).
The collective agreement signifies a commitment to fostering a positive and mutually beneficial relationship between the mining industry and its workforce in Zambia.
