Govt to address criticism against Chinese builders

FOREIGN-OWNED construction companies, especially from China, operating in Namibia should adhere to local labour laws and the minimum wages agreed between labour unions and the federation of construction companies, Labour Minister Alfeus Naruseb has said.

Responding to questions posed by opposition MP Jurie Viljoen (MAG), Naruseb said in Parliament on Thursday that the “problem to which Honourable Viljoen alludes is a serious problem”. Viljoen had asked the Minster why Namibian builders had to compete against “25 construction companies from the Far East”, which usually received Government tenders, although not adhering to Namibian labour laws and tender provisions.”Are the accusations of Namibian workers against these foreign companies accurate that their working conditions and benefits are in contravention of Namibia’s labour law?” Viljoen asked.Although Naruseb only replied in general, he told the House he had met with representatives of the Construction Industry Federation (CIF) and the Metal and Allied Namibian Workers’ Union (Manwu) last month to discuss the issue.”They alleged that the Tender Board regularly awards tenders to building contractors who do not adhere to the agreement of minimum wages and that the contractors hire sub-contractors who also do not adhere to the industry’s agreements.I emphasise that these are only allegations at this stage,” Naruseb said.”My ministry is now looking into the accuracy of the matters alleged.”Senior staff in the Ministry held a meeting with Chinese builders “a few weeks ago”, the Minister told the House, and a meeting with the Ministers of Finance and Works would take place soon.”Our Ministry is determined to find the best way to address the problem.”Naruseb said his Ministry had only 38 labour inspectors, far too few to cover all industrial sectors across the 13 regions.Minimum wages for labourers in the construction industry start at N$8 an hour, but most Chinese companies in the sector pay far less, a ministerial report revealed last year.Chinese building contractors paid workers around N$3 an hour and they contravened several sections of the Labour Act, the report said.In addition, these Chinese firms employed workers mostly from Zimbabwe, Rwanda and Asia.Recently several Namibian building companies filed an urgent application in the High Court because a Chinese company was awarded the tender to construct new Government buildings, but allegedly did not comply with the Affirmative Action Act and the labour law.The court dismissed the application, saying it was not urgent.The Construction Industries Federation of Namibia (CIF) last year claimed that “not one single Chinese [building] contractor in the country is in possession of a valid affirmative action compliance certificate”, after having received a copy of the report.The CIF further alleged that “Government fails to act, although the Employment Equity Commission (EEC) and the Tender Board of the Government are fully aware of the situation”.Viljoen had asked the Minster why Namibian builders had to compete against “25 construction companies from the Far East”, which usually received Government tenders, although not adhering to Namibian labour laws and tender provisions.”Are the accusations of Namibian workers against these foreign companies accurate that their working conditions and benefits are in contravention of Namibia’s labour law?” Viljoen asked.Although Naruseb only replied in general, he told the House he had met with representatives of the Construction Industry Federation (CIF) and the Metal and Allied Namibian Workers’ Union (Manwu) last month to discuss the issue.”They alleged that the Tender Board regularly awards tenders to building contractors who do not adhere to the agreement of minimum wages and that the contractors hire sub-contractors who also do not adhere to the industry’s agreements.I emphasise that these are only allegations at this stage,” Naruseb said.”My ministry is now looking into the accuracy of the matters alleged.”Senior staff in the Ministry held a meeting with Chinese builders “a few weeks ago”, the Minister told the House, and a meeting with the Ministers of Finance and Works would take place soon.”Our Ministry is determined to find the best way to address the problem.”Naruseb said his Ministry had only 38 labour inspectors, far too few to cover all industrial sectors across the 13 regions.Minimum wages for labourers in the construction industry start at N$8 an hour, but most Chinese companies in the sector pay far less, a ministerial report revealed last year.Chinese building contractors paid workers around N$3 an hour and they contravened several sections of the Labour Act, the report said.In addition, these Chinese firms employed workers mostly from Zimbabwe, Rwanda and Asia.Recently several Namibian building companies filed an urgent application in the High Court because a Chinese company was awarded the tender to construct new Government buildings, but allegedly did not comply with the Affirmative Action Act and the labour law.The court dismissed the application, saying it was not urgent.The Construction Industries Federation of Namibia (CIF) last year claimed that “not one single Chinese [building] contractor in the country is in possession of a valid affirmative action compliance certificate”, after having received a copy of the report.The CIF further alleged that “Government fails to act, although the Employment Equity Commission (EEC) and the Tender Board of the Government are fully aware of the situation”.