Chinese company signs deal after workers strike

CONSTRUCTION workers at the China Jiangsu International Namibia Ltd project in Pioneers Park, Windhoek yesterday downed tools after accusing the company of labour exploitation and failure to comply with the law.

The Metal and Allied Namibian Workers Union (Manwu) says the company has been underpaying employees and ignoring repeated calls to comply with the Construction Industry Government Gazette and the Labour Act.

Manwu regional coordinator Sanchez Matias on Monday said the standoff followed more than five months of engagement with the company, which has been contracted to build University of Namibia facilities in Windhoek.

“The workers are being paid at general worker rates, while even general workers themselves are receiving less than what is prescribed in the gazette,” Matias said.

He said the union had given the company until 13 August to implement the necessary adjustments, but the deadline was ignored.

“We agreed on specific clauses during a meeting last week. All that was left was to sign the agreement today. Instead, they told us we must wait until Friday so they can consult in China. We cannot allow our members to be exploited,” Matias said.

As a result, workers downed tools, forcing the company to sit down with the union and sign an agreement yesterday.

According to the agreement, the company has committed to a series of measures aimed at correcting labour violations.

The agreement states that all employees’ wages will be adjusted in line with the Construction Industry Government Gazette, effective from 1 August and salaries will now correspond with workers’ job categories.

The agreement also states that the employer agrees to register all employees with the Namibian Building Workers Pension Fund. Backdated pension contributions, owed since 1 March, will be paid directly to employees.

Thirdly, the company will pay backdated wage shortfalls from March 2025.

The statement notes that this will ensure that employees are compensated for the difference between what they were paid and what they should have earned according to the gazette and calculations will be based on each employee’s occupation and correct wage category.

According to the document, the company committed to paying salaries on or before the fourth of every month and issuing stamped payslips.

The agreement also binds the employer to deduct union fees from workers who have joined Manwu and to pay these into the union’s account monthly.

Another key condition is that all back pays, including wage shortfalls and pension contributions, must be settled by 4 September. Prior to payment, the company is required to meet with each worker to calculate and confirm the outstanding amounts.

However, the agreement notes that no resolution was reached on overtime back pay. Both parties remain free to pursue the matter through the Office of the Labour Commissioner or other appropriate tribunals.

The document further states that except for the unresolved overtime issue, no other outstanding matters remain. If the employer breaches the agreement, the union or affected employees have the right to refer the dispute to the labour commissioner.

China Jiangsu International project marketing manager Arnold Chambula confirmed the signed agreement but criticised the way the protest was handled.

He said the company had consulted legal and labour advisers before signing the agreement and was satisfied that all commitments aligned with Namibian law.

Matias said the agreement was a victory for the workers, but stressed that the union would remain vigilant.

In an age of information overload, Sunrise is The Namibian’s morning briefing, delivered at 6h00 from Monday to Friday. It offers a curated rundown of the most important stories from the past 24 hours – occasionally with a light, witty touch. It’s an essential way to stay informed. Subscribe and join our newsletter community.