Business Reporter
THE signed Collective Agreement between the Construction Industries Federation of Namibia (CIF) and the Metal and Allied Namibian Workers Union (MANWU), on 3 October 2023, which determines the minimum wage payable and the employment conditions in the construction sector, was published in Namibia’s Government Gazette on 6 June 2024.
The implementation date of the agreement is the promulgation date, i.e., 6 June 2024, and it will remain in force for two years. The minimum wage agreement outlines that a semi-skilled painter will earn N$21.44 per hour, an artisan N$29.98, a semi-skilled plumber N$24.94, and an artisan plumber N$37.80. Additionally, a semi-skilled bricklayer/plasterer will earn N$24.66, with an artisan in the same category earning N$37.81. A welder will earn N$23.54, a security guard will earn N$140.00 per 12-hour shift on-site, and a brickmaker will earn N$24.00.
With the promulgation of the Collective Agreement, the conditions of the agreement are extended to all employers in the construction sector. The increase in minimum wage payable will apply to the categories of workers listed in the Collective Agreement. The increase for the first year is 5% on the previous minimum wage payable, and for the second year, there will be an additional increase of 4% on the minimum wage payable from the previous year. This means that in the first year, the minimum wage payable for an unskilled labourer will be N$18.72 and in the second year N$19.46. All other employment conditions mostly remain the same as in the previously gazetted Collective Agreement.
Bärbel Kirchner, Chief Executive Officer of the CIF, says: “We are very happy that our Collective Agreement between the CIF and MANWU is now gazetted. The CIF negotiated on behalf of its members, who had been engaged on four occasions to ensure that our collective bargaining efforts are within the mandate that we obtained from our members. For us, it is important that the implementation date of the agreement is on the day the Collective Agreement is published in the Government Gazette. This will avoid our members being disadvantaged before the date of promulgation; i.e., only they would have to adhere to the conditions. Now that the Collective Agreement is gazetted, every single business in the construction sector will have to adhere to it.”
Kirchner further emphasized that adherence to gazetted conditions is crucial for a level playing field in the sector, ensuring that every contractor pays at least the minimum wages, regardless of their affiliation or the nature of their engagement.
“Enforcement of the new requirements, including the provision of good standing certificates and payslips, is essential. Clients and labour inspectors must be proactive in ensuring compliance now that the new Collective Agreement is gazetted. It is important to note that the increase in the minimum wage payable is not an across-the-board increase in the industry. It is only an increase in the minimum wage payable for the categories of employees listed in the Collective Agreement. It also does not mean that everyone who falls into those categories will automatically get an increase, as some employers are already paying more than the minimum wage. It is, therefore, within the discretion of the employer,” Kirchner concluded.
Picture for illustrative purposes only. Photo: Contributed
