Debswana Diamond Company, Botswana’s leading diamond mining firm, has spent P1.6 billion ($120 million) since December 2024 on voluntary separation packages for 760 employees, as announced by Ms. Matlhogonolo Mponang, Debswana’s Group Human Resources Executive Head, during the recent Liberty Life Living Annuity Conference in Tlokweng.
The company released 664 employees by May 2025 for P1.4 billion, followed by an additional 96 in June for P200 million. Ms. Mponang emphasized that the Debswana board has ruled out involuntary separations, opting instead for voluntary exits to navigate the ongoing diamond market slump. This downturn has forced the closure of Letlhakane and Damtshaa mines, with production slashed from 24 million carats annually.
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“Right now, we are not selling diamonds as a country,” Ms. Mponang stated, highlighting the severity of the market crisis. Debswana, which employs 6,200 people directly and an additional 6,200 through business partners, has been significantly impacted, prompting the workforce reduction to align with reduced operations.
Independent economic consultant Dr. Keith Jefferies warned that the slump signals the end of an era for Botswana’s diamond-driven economy, with no immediate recovery in sight. The voluntary separation program reflects Debswana’s efforts to adapt to challenging market conditions while maintaining a commitment to its workforce and stakeholders.
