De Beers Cutting Mining Jobs in SA, Offering Fewer Goods at Sight
January 18, 09
De Beers Consolidated Mines (DBCM) plans job cuts to face the fall in rough diamonds demand and prices. The first stage, of cutting some 400 vacant positions, is expected to be quickly followed by layoffs.
The diamond miner said on Friday that it had revised its mining plans for 2009 and entered into consultations with unions about the job cuts. The final number of job cuts will be determined by the outcome of these talks, as well as continually revised global rough diamonds demand.
The Diamond Trading Company (DTC) is expected to offer a limited supply at its Sight this week (January 18-23) in London. According to some estimates, the first Sight of the year will offer only about $100 million worth of goods.
The layoffs at DBCM follow extended holiday vacations at De Beers’ mines across Africa. De Beers also plans to layoff about 25 percent of its employees in London - more than 100 jobs that will be cut.
DBCM employs about 3,500 people at six mining operations and its headquarters.