23-07-2025
Gem Diamonds cuts jobs and pay to ride out rough times
Rough times in the diamond market have forced Gem Diamonds to unveil a swathe of cost-cutting measures.
The owner of the famed Letseng mine in Lesotho said it planned to cut 250 jobs or a fifth of its workforce, temporarily cut the salaries of its directors, executives and management, and sharply curtail its waste mining activities.
'Considering the prolonged weakness in global diamond prices, compounded by a weak US dollar and ongoing US tariff uncertainties, Gem Diamonds has implemented decisive measures to conserve cash and protect shareholder value,' it said.
The shares fell by 13 per cent to 5¼p after it outlined what it described as 'necessary operational changes and cost management measures' in response to 'continued challenging market conditions'. The one-time FTSE 250 company is now worth just £7 million.
