3 July, 2025The Independent Democratic Union of Lesotho (IDUL) is strongly objecting to the forced leave of 400 workers at Mothae Diamond Mine in Lesotho.
The temporary layoffs, which commenced in June this year, have slashed workers’ wages to 50 per cent of their usual earnings, a move the mine attributes to a slow diamond market in Europe. However, IDUL, an IndustriALL affiliate, has condemned the decision as a breach of labour laws and collective bargaining agreements.
Mothae mine’s layoffs come amid a period of transition for the mine’s ownership. Lucapa stated that its divestment to Lephema Executive Transport in 2024 was part of a strategic retreat to focus on assets in Angola and Australia. The sale, finalised in September 2024, raised questions about the mine’s long-term stability.
IDUL’s objections centre around the unilateral nature of the layoffs. May Rathakane, IDUL general secretary, 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.”
He argues that Mothae mine’s management flouted legal obligations by failing to consult the union, as mandated by Lesotho’s labour laws and the recognition agreement with the company. Further, he said IDUL is concerned by the erosion of labour rights in Lesotho’s mining sector, where workers often bear the brunt of market volatility. IDUL says the government of Lesotho, which had expressed interest in acquiring Lucapa’s stake and is a shareholder, must intervene to safeguard jobs and ensure compliance with labour standards.
IndustriALL director for mining and diamonds, Glen Mpufane, criticised the use of market downturns as a pretext for wage cuts:
“Market volatility is not an excuse to withhold full wages. Diamond mining companies must plan for booms and slumps rather than sacrificing workers’ wages.”
The Mothae mine in Mokhotlong in the Maluti Mountains, in Lesotho’s Butha-Buthe district, has been a significant economic contributor since commercial production began in 2019. Initially developed by Lucara Diamond Corporation, the mine was acquired by Australia-based Lucapa Diamond Company in 2017, which held a 70 per cent stake until its sale in 2024 to local mining and construction company, Lephema Executive Transport.
The Government of Lesotho retains a 30 per cent stake, underscoring the mine’s strategic importance to the nation’s economy, which relies heavily on diamond exports which contribute 6-10 per cent of the country's GDP. In the past, Mothae has unearthed gem quality kimberlites that included a 215-carat diamond.