Economy

Pay Rise For Kagem Unionised Employees!

Kagem Mining, which operates the largest emerald mine in the world, in Lufwanyama, has signed a collective agreement with unions under which unionised employees will receive a 10% increase in basic salary for 2020 and a further 10% increase for 2021.

The company is owned 75% by London-based Gemfields in partnership with the Industrial Development Corporation (IDC), which holds 25% on behalf of the Zambian Government.

The collective agreement followed successful negotiations between management and representatives of the National Union of Miners & Allied Workers (NUMAW) and the Mine Workers Union of Zambia (MUZ), in which it was also agreed to enhance the company pension contribution from 15% to 20% of basic pay, bringing the effective salary increase to 15% for 2020 and 2021, and the overall increase to 22.5% over the next two years.

The parties further agreed to enhance repatriation allowance by 11% and raise the education allowance by 125% recognising the importance of education of employees’ children. Transport allowance has also been increased.

A new grading structure will be implemented and all conditions of employment have been aligned to the Employment Code Act. No. 3 of 2019.

Kagem Board Chairman Dr. Sixtus Mulenga commended union representatives for the efficient and professional manner in which negotiations were conducted and said: “The salary increment reflects expected cost of living increases, and additional benefit increases are in line with industry expectations, while recognising the need for continued investment in the gemstone sector.”

The agreement was also welcomed by Boniface Mutale, Director of the Board of Kagem representing the government, who thanked management for their input in the negotiations and said: “This is a win-win outcome that recognises employee input while also ensuring that Kagem continues to be a flag-bearer for the coloured gemstone sector, putting Zambian emeralds on the world map through continued investment in production and marketing.”

Copyright © 2020 ZR.

 

7 Comments

  1. Shums

    Good development

  2. George chirwa

    good development

  3. Josia Chapuswike

    Government representative please make statement after you collect information from worker, management and the union, this when you make true statement on the ground to tell you the truth the workers at Kagem are not happy of this , go to Kagem and ask workers they tell you the truth not that, please you are in position to save people, it’s only God who can help workers at Kagem

  4. CHILUBO

    Fuel has been hicked 3_4 or more in the last 2_3 years bringing cost of leaving to higher hights making it difficult for most employed citizens to survive. Now what is 10 or/15 percent of increment on a salary that has not been revised for the past 3 to 4 years going to benefit the Zambian employee? To me and I think many Zambian employees this way of salary review negotiations should be improved for better than this.

  5. FAMOUS

    For someone to survive in needs to have a take home of about 7000 then atleast someone will survive and not 3000 as miner working for Chinese owned company government should do something now come 2021 miners have changed their mind

  6. Mwaba macco

    Splendid development

  7. Ozzio

    Give workers according to profits you generally make they deserve it.

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