The National Petroleum Corporation of Namibia (Namcor) has advertised the position of managing director despite both the company and its former head, Immanuel Mulunga, taking legal action against each other in the Labour Court.
Mulunga, who led the state-owned oil company for eight years, was dismissed on 8 August 2024 due to several charges, including an unauthorised asset acquisition worth N$50 million from military contractor Enercon.
On 20 August 2024, he lodged an unfair dismissal case with the Labour Court. Namcor, in turn, also filed a case against Mulunga on 8 November 2024 alleging discrimination and breach of contract.
The Office of the Labour Commissioner last week confirmed the cases to The Namibian.
“The case referred to the labour commissioner by Mulunga involves allegations of unfair dismissal against Namcor,” said labour commissioner Kyllikki Sihlahla.
She added: “On 8 November 2024, Namcor referred a case to the labour commissioner against Immanuel Mulunga, alleging discrimination and breach of contract of employment. Both matters remain sub judice under the labour commissioner’s purview.”
Despite the ongoing legal battle, Namcor issued a vacancy advert on 20 December 2024, seeking a managing director on a five-year contract.
According to the advert, the managing director’s primary role involves working with the board of directors to develop and execute Namcor’s long-term strategy to create shareholder value.
While Mulunga declined to comment, his camp has expressed surprise that the position was being advertised despite the unresolved Labour Court cases.
Namcor spokesperson Utaara Hoveka yesterday said the company’s decision to advertise the managing director position, despite the pending Labour Court case, was driven by several key factors aimed at ensuring the organisation’s continued growth and stability.
He said the recruitment for the position is an independent process that does not interfere with the legal proceedings in the Labour Court.
“Namcor firmly believes that the termination of Mulunga’s employment was legitimate and justified,” he said.
Hoveka said Namcor is committed to adhering to all legal requirements while also fulfilling its responsibility to stakeholders by ensuring effective leadership.
“The company is confident in its position and, therefore, feels it is appropriate to move forward with the recruitment process for the managing director role,” he said.
Hoveka said regardless of the outcome of the Labour Court case, Namcor must plan for the future.
He said advertising the position allows the company to identify and attract qualified candidates who can contribute to its vision and objectives, ensuring that it is well-prepared for any eventuality.
Over the years, the company has been immersed in debt, power struggles, drug accusations, mismanagement of funds, managing directors’ suspensions and allegations of corruption.
As of September 2023, Namcor owed its creditors N$1.9 billion.
Some of Namcor’s suppliers had threatened to take action, including liquidating the state-owned oil company.
In April 2024, the government came to Namcor’s rescue, providing a N$1.2-billion bailout paid directly to the company’s suppliers and creditors.
“As part of its mandate to transform and enhance its operations, Namcor is committed to bringing in new leadership that aligns with its strategic goals,” said Hoveka.
Hoveka said the decision to seek a new managing director reflects the company’s focus on innovation and progress, ensuring that it remains competitive in the market.
“In summary, Namcor’s decision to advertise the managing director position is a proactive measure aimed at ensuring the organisation’s leadership and operational effectiveness, while also maintaining its commitment to transformation and growth, independent of the ongoing legal proceedings.”
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