Labour still to resolve severance pay dispute

A WINDHOEK man who worked for an earth-moving firm for 40 years and received N$2 000 as severance pay, is still waiting for the Ministry of Labour to intervene in his case.

Moses Katjigo worked for Rousseau & Sons from 1964 to March 2004. He is disputing his severance pay, saying it is too little.The company has said that it subtracted money Katjigo owed them from his severance pay.Earlier this year, Katjigo referred his case to the Ministry of Labour, which concluded that the company had treated him unfairly.According to the Ministry, Katjigo should have received N$12 000.Senior Labour Inspector at the Ministry of Labour Richard Ujaha told The Namibian this week that they were still negotiating with the firm on the matter.”I can only give you all the information after the matter has been resolved,” said Ujaha.Katjigo was supposed to receive N$19 000.However, the firm subtracted N$17 000 it said he owed them, leaving him with N$2 000.The Labour Inspector said this was against the Labour Act which states if an employee owes the company money, it can only subtract up to one-third from his severance pay or pension money.In terms of this, the firm should only have subtract N$6 332 from Katjigo’s severance pay, which would have left him with about N$12 000.He is disputing his severance pay, saying it is too little.The company has said that it subtracted money Katjigo owed them from his severance pay.Earlier this year, Katjigo referred his case to the Ministry of Labour, which concluded that the company had treated him unfairly.According to the Ministry, Katjigo should have received N$12 000.Senior Labour Inspector at the Ministry of Labour Richard Ujaha told The Namibian this week that they were still negotiating with the firm on the matter.”I can only give you all the information after the matter has been resolved,” said Ujaha.Katjigo was supposed to receive N$19 000.However, the firm subtracted N$17 000 it said he owed them, leaving him with N$2 000.The Labour Inspector said this was against the Labour Act which states if an employee owes the company money, it can only subtract up to one-third from his severance pay or pension money.In terms of this, the firm should only have subtract N$6 332 from Katjigo’s severance pay, which would have left him with about N$12 000.