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DECEMBER 8, 2023

Kagem and mine workers unions reach 2024/2025 collective agreement

LUFWANYAMA, ZAMBIA – Kagem Mining Limited (Kagem), the Mine Workers Union of Zambia (MUZ) and the National Union of Miners & Allied Workers (NUMAW) that represent Kagem’s unionised employees are pleased to confirm that they have reached a collective agreement on employee pay increases for 2024 and 2025.

Based on the agreement, unionised employees will receive a 10% increment in pay for 2024 and a further 10% in 2025. Additionally, the agreement confirms an increase on the education allowance for employees from the current ZMW 1,500 to ZMW 2,000.

Following successful negotiations between the emerald mine’s management team represented by Kagem’s Head of Human Resources, Dr Wesley Chishimba, the General Secretary of the Mine Workers Union of Zambia (MUZ), George Mumba and the President of the National Union of Miners & Allied Workers (NUMAW), Saul Simujika this agreement will start in January 2024.

The General Secretary of the Mine Workers Union of Zambia (MUZ), George Mumba said: “We want to thank Kagem, and the unions for ‘walking the talk’ because 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 pay increase agreement follows that of 2022, when the mine agreed to enhance the company pension contribution from 20% to 25% of basic pay, bringing the effective salary increase at the time to 15% for 2022 and 2023. The company delivered on these promises.

Kagem General Manager Adriaan Prinsloo said: “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.”

“Kagem is committed to looking after its employees and providing a positive local impact, ensuring that Zambian emeralds benefit the people of Zambia,” he added.

Kagem aims to provide a positive impact from its operations in Zambia. Believed to be the world’s single largest producing emerald mine, Kagem is 75% owned by Gemfields and 25% by the Zambian Government’s Industrial Development Corporation (IDC).

-Ends-

CONTACT

Enquiries
Gillian Langmead
Langmead & Baker Ltd
Tel: +260 979 060705
info@langmead.com

Head office
Helena Choudhury
Head of PR and Communications
Tel: +44 (0)207 518 3420
helena.choudhury@gemfields.com

Albertina Namburete 
PR Manager 
Tel: +44 (0)783 325 7387 
Albertina.namburete@gemfields.com

Kagem responsible sourcing highlights

Kagem is committed to ensuring that the community is not harmed by its activities, and continues to benefit positively from its operations through various community projects focused on alleviating poverty and aligned with government policies, the UN Sustainable Development Goals (SDGs) and Vision 2030. 

The mine has spent USD 3 million to December 2022 on community projects and conservation partnerships, including: 

• Rehabilitation of the 18.7km road connecting Chief Nkana and Chief Lumpuma’s chiefdoms from Kandole to Kafwaya village in Lufwanyama district 
• Construction of the Nkana Health Centre 
• Construction and equipping of a new Chapula Secondary School 
• Construction of new buildings at Chapula Primary School 
• Building of teachers’ accommodation at Kapila Primary School
  
• Building of a additional 1×3 classroom block at Kapila Primary School.
• Construction of new buildings at Masasa Primary School 
• Support for the Blessings, Kafwaya, Kapila Green Farms, Nkana, Matafwali, Tweende and Twasanta farming associations 
• Improvements to Chief Nkana and Chief Lumpuma’s palaces 
• Previous partnership with the Zambian Carnivore Programme (ZCP) providing USD 150,000 over three years 
• One-off donation of USD 70,000 to North Luangwa Conservation Programme (NLCP) 
• Previous partnerships with the Copperbelt University (CBU) and the University of Zambia (UNZA) providing USD 345,00 to sponsor students from the geological and mining engineering departments at the School of Mines at UNZA and CBU over a period of eight years 
• Pledge of USD 220,000 to support Lumpuma Multi-Purpose Cooperative Society farming initiative.  
• Kagem has renewed its support for the Zambian Carnivore Programme (ZCP) providing USD 250,000 over a five-year partnership.  
• Kagem has renewed its partnership with both the Copperbelt University (CBU) and the University of Zambia (UNZA), committing to new scholarship programmes totalling USD 345,000.  
• Gemfields Foundation build a computer lab at Kapila Primary School. 

About Kagem Mining
Kagem Mining Ltd, based in Lufwanyama, is believed to be the world’s single largest producing emerald mine. Kagem is 75% owned by Gemfields, in a model partnership with the Zambian government.
Kagem aims to emulate the values of Gemfields and operate in a way that contributes positively to the national economy, while taking a leading role in modernising the coloured gemstone sector and building sustainable livelihoods for the communities around the mine. Kagem believes that coloured gemstones should be mined and marketed by championing three key values –  transparency, legitimacy and integrity. 
Gemfields is a world-leading responsible miner and marketer of coloured gemstones. In addition to Kagem, Gemfields is the operator and 75% owner of Montepuez Ruby Mining in Mozambique (at one of the most significant recently discovered ruby deposits in the world), as well as bulk sampling licences in Ethiopia, amongst others.   
Gemfields has developed a proprietary grading system and a pioneering auction and trading platform to provide a consistent supply of coloured gemstones to the global jewellery market. 
Fabergé – an iconic name with an exceptional heritage – is a member of the Gemfields Group. The beauty of Fabergé’s designs and craftsmanship, helps to raise consumer awareness of responsibly sourced coloured gemstones.
As well as supplying a significant share of the world’s rough rubies and emeralds, Gemfields initiates activations to build desire for coloured gemstones: for example, collaborations with international jewellery brands and other creative partners. Often surprising, unexpected and unique, these collaborations are chosen to promote consumer awareness and increase the appeal of coloured gemstones, raising their profile, and, in turn, providing greater benefit to their place of origin in Africa. 

Gemfields: Gemfields.com | Investors | Foundation  | Instagram | Facebook | Twitter | YouTube
Fabergé: Fabergé.com | Instagram | Facebook | Twitter | YouTube
Kagem Mining: LinkedIn
Montepuez Ruby Mining: LinkedIn