The Construction Industries Federation (CIF) and the Metal and Allied Namibian Workers Union (Manwu) have agreed on an increase in the minimum wage payable to workers in Namibia’s construction sector.
This will come into force once the signed collective agreement between the CIF and Manwu is published in the Government Gazette.
The increase in the minimum wage payable would only apply to those categories of workers listed in the collective agreement.
The signed agreement was submitted to Namibia’s minister of labour, industrial relations and employment creation, Utoni Nujoma, so that the process towards promulgation could commence.
The increase for the first year is 5% in the previous minimum wage payable, and for the second year, there will be an additional increase of 4%.
That would mean that in the first year, the minimum wage payable for an unskilled labourer would be N$18,72, and in the second year N$19,46.
All other conditions of employment mostly remain as previously gazetted in the collective agreement.
However, emphasis was placed on quality personal protection equipment (PPE) to be of South African Bureau of Standards or similar standard, as some contractors had previously disregarded the quality of PPE to curb costs.
The federation’s chief executive, Bärbel Kirchner, says it should be kept in mind that negotiations took place under trying circumstances as growth in the construction sector remains elusive.
“Many of our local contractors find themselves competing with foreign contractors when they desperately need work to be able to keep sustaining their businesses, which indeed has also again led to retrenchments.
“I am truly happy that we reached agreement amicably, as this was not a given. Indeed we engaged our members four times to ensure our collective bargaining takes place within the confines of our mandate,” she says.
The previously negotiated and gazetted collective agreement will remain in force until 1 November, after which the new agreement should be implemented.
Kirchner says it is critical that everyone in the sector adheres to the gazetted conditions to ensure a level playing field and that every contractor pays the minimum wages payable.
“That means every contractor in our sector – irrespective of whether they are engaged by government authorities or by the private sector. It is also irrespective of whether the contractor is a member of the CIF or not,” the chief executive says.
The union’s secretary general, Justina Jonas, says the union appreciates the conclusion of the agreement, and that contractors, despite facing economic challenges, could still recognise and appreciate workers’ well-being.
“As the sector is going through a lot challenges, Manwu continues to advocate fairness and justice for construction workers – especially those who are exposed to precarious work by foreigner contractors who are awarded big projects at the expense of local contractors,” she says.
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