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Tuesday, December 19, 2006 - Web posted at 8:03:36 GMT Final version of Labour Bill tabled in February BRIGITTE WEIDLICHTHE final revised version of the new Labour Bill will be tabled as soon as Parliament resumes sessions in February, Labour Minister Alfeus Naruseb has announced. |
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Briefing media on the latest developments on the bill, Naruseb said all stakeholders, including labour unions, the Namibian Employers' Federation and all political parties had been briefed on the progress made. "We are confident that all issues and concerns were ironed out and that the final draft is ready to be tabled in the National Assembly come 13 February 2007, when sessions resume," he said last week. According to Naruseb, the new law could then be implemented by the middle of next year. The 1992 Labour Act was revised in 2004 but had several shortcomings and was severely criticised by the private sector. Only some parts of the new law could be implemented last year. The main criticism was directed at the long annual leave of 24 working days granted to employees, plus five days' compassionate leave. The Namibian Employers' Federation (NEF) had a study conducted by economic experts who worked out that the stipulated leave days for the Namibian workforce would cost two per cent of the Gross Domestic Product (GDP), or a N$306 million loss of productivity per year. Namibia's average economic growth rate is approximately 3.5 to four per cent a year. The revision of the 2004 Labour Act required so many changes that a new draft had to be drawn up this year. That draft caused another outcry in September because it stipulated that employers themselves have to be present during arbitration sessions arising from labour disputes and cannot be represented by their lawyers or other company managers. This matter has now been ironed out, the Labour Minister said, although he admitted that he had not yet seen the final version of the revised draft. "To my knowledge, this disputed matter has been resolved and both parties can be represented by somebody of their choice," he said at the briefing. Tim Parkhouse of the NEF confirmed this positive development. "The NEF is a member of the Labour Advisory Council and most issues that arose from the draft circulated in September were addressed in the LAC," Parkhouse said. Evilastus Kaaronda of the National Union of Namibian Workers (NUNW), who was also present, said the union served on the LAC as well and agreed to majority votes taken there. The LAC has twelve members: four Government representatives, four representing employers and four serving on behalf of the labour movement. One issue that still has to be ironed out is the proposed full maternity leave payouts for female employees. Under the 1992 Labour Act, women going on maternity leave could only claim some benefits from the Social Security Commission (SSC). In terms of the 2004 Labour Act, employers have to pay full remuneration to women going on maternity leave. Afterwards they can claim back a portion of the salary from the SSC, namely that part which constitutes the basic wage. According to the Institute for Public Policy Research (IPPR), the extra cost to employers caused by this provision amounts to N$8 million a year. The 2007 Labour Bill seeks to address this issue differently, but according to Minister Naruseb, the Ministry is still waiting for the SSC to work out some calculations before a final decision will be made. |
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