The Botswana Mine Workers Union (BMWU) is calling for immediate intervention over unpaid salaries at Masama Coal Mine, where workers have reportedly gone four months without pay.
In a statement, the union said the wage delays have caused severe financial hardship for employees and constitute a violation of basic labour rights.
Masama Coal Mine is operated by Meropa Resources under a subcontracting agreement with Minergy Limited, which owns the mine. Since November 2024, Minergy has defaulted on payments to Meropa, prompting a curtailment of mining operations and the retrenchment of 600 workers.
BMWU described the situation as a โblatant and unacceptable injustice,โ saying the union had exhausted all channels to resolve the crisis, including engagements with the government, the Minerals Development Company Botswana (MDCB), Minergy and Meropa Resources.
Minergy Limited is a sub-subsidiary of MDCB, which falls under the Ministry of Minerals and Energy.
โThe unresponsiveness, in the face of workersโ exceptional hardship, undermines the very principles of fairness, justice, and social dialogue that should guide Botswanaโs democratic and labour dispensation,โ the union said in its statement.
The union has now invoked the Trade Disputes Act and is preparing to escalate the matter to the courts. Despite the legal steps, it reaffirmed its commitment to continued dialogue to reach a sustainable resolution.
The union called on both government and corporate stakeholders to uphold workersโ dignity, saying โnon-payment of wages cannot be treated as an afterthought.โ It framed the crisis as not only a contractual breach but also a violation of fundamental rights and an affront to Botswanaโs working class.
BMWU President Joseph Tsimako said Minergy has not paid Meropa Resources since November 2024. As a result, Meropa relied on overdraft facilities to pay salaries between November and March 2025. But by April, the financial strain forced it to suspend wage payments altogether.
Tsimako said the government has agreed in principle to convert 51 percent of its more than P700 million debt into equity to help address Minergyโs financial distress. The debt had accrued following the termination of the mineโs previous contractor, Jarcon Opencast Mining, and the onboarding of Meropa in December 2023.ย
He added that Minergy’s profitability had been affected by unstable coal markets, logistical challenges and the lingering impact of COVID-19.
The union believes that converting the governmentโs debt into equity would strengthen Minergyโs credit profile and improve its ability to raise capital. However, Tsimako noted that the rescue plan is on hold pending a court dispute between Minergy and its creditors over judicial management.
He said the equity conversion would proceed once the court matter is resolved.