Business Reporter
THE Namibia Financial Institutes Supervisory Authority (NAMFISA), has lost a legal case in which it sought to terminate the contract with Namibia Financial Institution Union (NAFINU) which was the recognized bargaining union for NAMFISA’s employees.
In the matter before the Labour Commissioner between the two bodies, Ndateelela Hamukwaya, arbitrator, ruled that the application (NAFINU) succeeds in the matter adding that the Recognition and Procedural Agreement was unlawfully terminated by the respondent (NAMFISA).
Hamukwaya further ordered that NAMFISA restores the Recognition and Procedural Agreement effective from 7 June 2022.
On 10 September 2010, the Namibia Financial Institutions Union herein and Namibia Financial Institution Supervisory Authority entered into a Recognition and Procedural Agreement as per the Act, that regulates their relationship and sets rules and procedures, with a view to manage labour conflicts and to promote mutually satisfactory relations.
0n 31 January 2020 NAMFISA however served the applicant NAFINU a notice of intention to terminate the recognition agreement with effect 60 days upon receipt of the notice.
The applicant aggrieved and referred the matter to the office of the Labour Commissioner challenging the action of the respondent.
The first witness, Samuel Vries, Deputy General Secretary of the applicant, testified under oath that the workers of NAMFISA are covered by Article 21 (e) of the Namibian Constitution and that there is a need for the workers to be represented because it is a constitutional right and it is also a right that is guaranteed in the Labour Act, as well as in the IOL conventions and for collective bargaining purposes.
It was further stated in his testimony that the requirements for a trade union to be recognized as an exclusive collective bargaining agent are stated in section 64 of the Labour Act and that applicant met the requirements as per the said section.
Isack Hoaseb, the procurement officer for the respondent, testified under oath that the respondent refused to negotiate the annual wage negotiations during the year 2019 and unilaterally implemented the salary increment by 2%.
Hoaseb denied the allegations that NAFINU breached the recognition agreement when they showed up at the meeting that was held on 15 August 2019 without invitation from the respondent.
According to NAMFISA, the recognition agreement was terminated based on breaching of provision section 6.8.1 and 6.8.2 that on the 4 June 2019, amidst salary negotiations whereby one of the applicant’s officials posted a statement on her personal Facebook account.
The other ground for termination of collective agreement is that the trade union officials trespassed, disrupted and attempted to prevent an official staff meeting called by the Executive Office of the respondent without prior written permission from the HR manager of the respondent as it is in the provision of the recognition agreement.


