‘N$18 minimum wage not worth celebrating on May Day’

Labour expert Herbert Jauch says workers have nothing to celebrate on May Day, especially those who earn the N$18 an hour minimum wage, introduced by the government two years ago, as it only amounts to N$3 400 a month.

He was speaking ahead of Workers’ Day observed globally on 1 May every year.

The Namibian government introduced a national minimum wage of N$18 per hour in 2024 with phased increases for certain sectors.

Jauch says in South Africa the minimum wage is N$30 per hour.

Domestic workers, agricultural workers and security guards saw increases on 1 January, with agricultural workers rising to N$14 per hour, domestic workers to N$15 per hour and security guards to N$16 per hour. All three groups will reach the N$18 per hour rate by 1 January 2027.

“Even that small amount was opposed by the Namibian Employers’ Federation who said it would be unaffordable and counterproductive,” Jauch says.

Jauch says, following a global trend at independence, May Day in Namibia focused on the link between the political struggle for independence and the workplace struggle for better working conditions and against discrimination.

He says the role of unions was redefined through the Labour Act as that of social partners alongside the government and employers, tasked with negotiating better conditions of employment and focusing on workplace issues.

Now, only about 20% of Namibian workers are unionised, meaning the whole idea of collective bargaining, where employers and workers’ representatives sit and negotiate solutions, only applies to a minority of workers.

“That’s why I say low wages and unemployment are directly linked to each other. And these are the issues really for May Day,” he says.

Jauch says worker conditions have been blighted by high unemployment, currently at 36.9%.

“If you add those still looking for work and those who have given up looking for work, because they have been unemployed for such long periods that they have stopped looking, then our unemployment, according to the latest figures, is 54%,” he says.

Meanwhile, National Union of Namibian Workers secretary general Job Muniaro says May Day is for celebrating the achievements of the workers during the last 12 months.

The day provides unions with a platform to demand fair practices and decent living wages, and to highlight sectoral needs.
“We are celebrating our achievements and also looking into our challenges because as economies are developing, artificial intelligence (AI) is infiltrating the job market,” he says.

Muniaro, whose union is an umbrella body with 10 affiliates, says jobs that were done by human beings are now being taken over by machines.

“Some filling stations no longer have petrol attendants. You just fill your car, pay with your card and go. Model supermarket has reduced the number of tellers because they have self-service at the tills,” he says.

Muniaro says with the introduction of AI worldwide, May Day highlights the need to re-skill workers so they do not lose their jobs, but move to areas where they can be useful.

He says the minimum wage is not a living wage.

“What we are expecting in the future is a decent wage that will contribute to better living conditions for workers,” he says.

Muniaro says some employers were dragging their feet in implementing the minimum wage, because there are not enough labour inspectors to ensure implementation by all stakeholders.

The unionist stresses that the economy must grow for workers to receive decent wages.

“Economic growth can only be realised when workers are more productive and through that they can also expect a decent salary,” he says.

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