Rumblings at Ramatex over proposed increase of 10 cents

NAMIBIAN workers at the Ramatex Textile Factory are once again growing restless over their labour conditions – this time the factory’s refusal to meet their demands for a salary increase.

A dispute was declared with the Labour Commissioner’s Office two weeks ago after the Ramatex management said they were only willing to increase the hourly rate by ten cents. Acting on behalf of the workers, the Namibian Food and Allied Workers’ Union (Nafau) is asking for at least double the hourly rate, which for most workers is between N$3 and N$4.Ramatex Manager BK Ong would not confirm what it was prepared to offer the workers, but said the union’s demands could not be met because of low production at the factory.He said since the factory opened, it had under-performed on expectations.According to him, the company had been “subsidising” production costs.Namibian workers have not received a salary increase since the factory opened nearly four years ago.A workers’ representative, speaking to The Namibian on condition of anonymity, said yesterday that workers would only remain patient until the end of the month before resorting to industrial action.”Workers are sick and tired of having worked for four years with no benefits such as housing, transport and medical aid.The area where we are working is not safe.Workers are ready to strike over these things.But it will just be a gap for them [Ramatex] to escape,” said the worker.Another source said workers felt that they were being egged on by management and foreign workers to down tools – so that the factory would have a legitimate reason to withdraw from the country in favour of more lucrative locations abroad.Disgruntled foreign workers find it difficult to break their employment contract with the company without losses to themselves and cannot afford the air fare to return to their native countries.Nafau Organiser John Paporo, who is negotiating on behalf of the workers, confirmed that workers felt “aggrieved” by the failure of negotiations in recent weeks to yield a positive outcome for them.But he said he believed an amicable solution could be reached.Paporo said a date for the start of mediation would hopefully be decided on by the end of the week.”We are being very flexible [on the demand].The workers are aggrieved, but we don’t want them to go on an illegal strike,” he said.During negotiations, Nafau asked for increases from N$3 an hour to N$6,50 and for those earning N$4,50 an hour to be upped to N$8,50.Since the Malaysian company set up business in Namibia, labour relations between the factory and its local and foreign workers have been strained because of what employees perceive as unjust treatment.Government has in the past put the tension down to cultural and work-ethic differences between management and workers.Namibian workers have been on tenterhooks since January.They fear that the multi-national Ramatex group will leave Namibia in favour of countries where production is higher and labour costs lower.This came in the wake of the World Trade Organisation (WTO) dropping its quota system, which previously restricted exports by major Asian textile-producing countries.Only weeks after that announcement, southern Africa was hit by factory closures and job losses in Lesotho, South Africa and Kenya.In Windhoek, the Rhino Garments factory, subcontracted by Ramatex, closed down in April, allegedly because it was not getting enough work.Workers The Namibian spoke to said they feared that Ramatex would also leave Namibia sooner rather than later.In February, Ramatex and Government blamed workers for allegedly affecting orders for the factory’s products after Nafau alerted the International Textile Garment and Leather Workers’ Federation (IFGTW) about what it said were appalling labour conditions at the factory.Government has said it doesn’t believe Namibia would lose its nascent textile industry because of world market and trade forces, because its exports still enjoy duty-free access to the US under the Africa Growth and Opportunity Act (AGOA).Ramatex has denied it plans to withdraw from Namibia.Its local operation employs more than 6 000 Namibians and about 1 000 foreign workers.Ramatex has already opened four new factories in China this year.Acting on behalf of the workers, the Namibian Food and Allied Workers’ Union (Nafau) is asking for at least double the hourly rate, which for most workers is between N$3 and N$4.Ramatex Manager BK Ong would not confirm what it was prepared to offer the workers, but said the union’s demands could not be met because of low production at the factory.He said since the factory opened, it had under-performed on expectations.According to him, the company had been “subsidising” production costs.Namibian workers have not received a salary increase since the factory opened nearly four years ago. A workers’ representative, speaking to The Namibian on condition of anonymity, said yesterday that workers would only remain patient until the end of the month before resorting to industrial action.”Workers are sick and tired of having worked for four years with no benefits such as housing, transport and medical aid.The area where we are working is not safe.Workers are ready to strike over these things.But it will just be a gap for them [Ramatex] to escape,” said the worker.Another source said workers felt that they were being egged on by management and foreign workers to down tools – so that the factory would have a legitimate reason to withdraw from the country in favour of more lucrative locations abroad.Disgruntled foreign workers find it difficult to break their employment contract with the company without losses to themselves and cannot afford the air fare to return to their native countries.Nafau Organiser John Paporo, who is negotiating on behalf of the workers, confirmed that workers felt “aggrieved” by the failure of negotiations in recent weeks to yield a positive outcome for them.But he said he believed an amicable solution could be reached.Paporo said a date for the start of mediation would hopefully be decided on by the end of the week.”We are being very flexible [on the demand].The workers are aggrieved, but we don’t want them to go on an illegal strike,” he said.During negotiations, Nafau asked for increases from N$3 an hour to N$6,50 and for those earning N$4,50 an hour to be upped to N$8,50.Since the Malaysian company set up business in Namibia, labour relations between the factory and its local and foreign workers have been strained because of what employees perceive as unjust treatment.Government has in the past put the tension down to cultural and work-ethic differences between management and workers.Namibian workers have been on tenterhooks since January.They fear that the multi-national Ramatex group will leave Namibia in favour of countries where production is higher and labour costs lower.This came in the wake of the World Trade Organisation (WTO) dropping its quota system, which previously restricted exports by major Asian textile-producing countries.Only weeks after that announcement, southern Africa was hit by factory closures and job losses in Lesotho, South Africa and Kenya.In Windhoek, the Rhino Garments factory, subcontracted by Ramatex, closed down in April, allegedly because it was not getting enough work.Workers The Namibian spoke to said they feared that Ramatex would also leave Namibia sooner rather than later.In February, Ramatex and Government blamed workers for allegedly affecting orders for the factory’s products after Nafau alerted the International Textile Garment and Leather Workers’ Federation (IFGTW) about what it said were appalling labour conditions at the factory.Government has said it doesn’t believe Namibia would lose its nascent textile industry because of world market and trade forces, because its exports still enjoy duty-free access to the US under the Africa Growth and Opportunity Act (AGOA).Ramatex has denied it plans to withdraw from Namibia.Its local operation employs more than 6 000 Namibians and about 1 000 foreign workers. Ramatex has already opened four new factories in China this year.