Motshwegwa Rakhudu (not his real name), who worked as an installer at Debswana diamond mines in northern Botswana for 14 years, lost his job a year ago. He says he was on rolling three-year contracts with Enabler Hires (Pty) Ltd and expected the arrangement to continue until 2027, but was retrenched without warning.
“The shock was too much,” Rakhudu told Al Jazeera. “In early 2025, I took a loan of 26,000 pula (about $1,900) to buy a car because I believed my job was secure. By mid-May, I was out of work.” The sudden retrenchment left him struggling with debt and household responsibilities, including school fees, with no compensation received.
“Being caught unprepared has been very difficult. Jobs are scarce, and even when work is available outside mining, the pay is much lower. I am still looking for work,” he said. Rakhudu has considered farming or starting a small business but lacks capital. Selling his car would only cover the outstanding loan.
Al Jazeera contacted Gaotlhobogwe Radikwata, a senior management official at Enabler Hires, for comment, but she refused: “I am not going to answer your questions even if you convince me you are from Al Jazeera. Who gave you my number? I never shared my contacts with journalists. I am not at liberty to share information.”
The retrenchments come as Botswana’s diamond sector, the backbone of its economy, slows sharply. Debswana Diamond Company, a joint venture between the government and De Beers, cut production by about 27% in 2024 to 17.9 million carats amid weak global demand, and plans further reductions to around 15 million carats in 2025. The company accounts for roughly 90% of Botswana’s diamond sales.
That slowdown has rippled through the wider economy. Botswana’s output contracted by about 5.3% in the second quarter of 2025, the sharpest fall since the pandemic, driven largely by declining diamond production. Diamonds account for around 70% of export earnings and roughly a third of government revenue.
“The diamond downturn is no longer just a business issue. It is a human issue affecting workers, families, contractors and entire mining communities,” said Mbiganyi Gaekgotswe, General Secretary of the Botswana Mineworkers Union. He said uncertainty now defines everyday life: “The first question on everyone’s mind is whether they will still have a job next year. Will contracts be renewed? Will overtime be reduced? These are not abstract concerns. They affect school fees, loans, medical bills and family responsibilities.”
Even where jobs remain, pressure is rising as wages stagnate while food and transport costs increase. Dominic Obusitse Mapoka, Chairperson of the Botswana Diamond Workers Union, said workers are increasingly on short-term or temporary contracts, making it difficult for families to plan. Many earn between $190-250 a month while the cost of living continues to rise.
Since independence in 1966, Botswana’s diamond wealth has transformed it into a middle-income economy, but that success has left it heavily exposed to global shocks. The downturn exposes the risks of economic concentration, said Levy Ndou, a political scientist at Tshwane University of Technology: “When citizens depend heavily on one sector, a fall in global demand becomes very damaging.” He called for faster diversification into agriculture and beef production, alongside stronger regional trade links.
Botswana’s Minister of Labour and Home Affairs, Pius Mokgware, said the government is responding by trying to absorb job losses, including expanding copper mining and opening new projects. Diversification efforts are also targeting agriculture, tourism and ICT. Minister of Minerals and Energy, Bogolo Joy Kenewendo, did not respond to repeated requests for comment.
Tshepo Modibedi, President of the Small Scale Miners Association of Botswana, said smaller operators remain largely excluded from the diamond value chain. “Lab-grown diamonds and strict regulations are challenges, but they could also be opportunities, if policy becomes more inclusive,” he told Al Jazeera.
For Rakhudu, however, structural shifts in the global diamond market remain distant from daily survival. “I am still looking,” he said. “I just want another chance to work.”
Source: www.aljazeera.com