The Consumer ‘Cartel’ and the Fight For Fair Labour

HOSEA SHISHIVENI

For generations, namibia’s economic story has been told through the language of extraction.

Our diamonds have dazzled global markets, our uranium has powered international industries, and recent offshore oil discoveries have created hopes of future prosperity.

When Namibia speaks about wealth, attention naturally turns to what lies beneath the soil or beneath the ocean.

Yet one of the country’s most powerful economic engines is hiding in plain sight: the fast-moving consumer goods (FMCG) industry.

Its value is not found underground but across the supermarkets, warehouses, factories, and distribution centres that supply Namibians daily.

Billions of dollars circulate through the FMCG value chain as food, beverages, household products and essential goods move from manufacturers to distributors, retailers, and consumers.

Unlike extractive industries that depend on global commodity cycles, FMCG generates continuous economic activity as people must consume essential goods regardless of economic conditions.

If the FMCG industry creates such enormous wealth, why do many workers within the sector continue to struggle financially?

INCONSISTENCIES

Retail workers, cashiers, shelf packers, warehouse employees, drivers, merchandisers, cleaners, and general labourers are the foundation of this industry. They ensure products are manufactured, transported, stocked, and made available to consumers. Without their labour, the supply chain would collapse.

However, many employees argue that the economic value they create is not reflected in their salaries, benefits and working conditions.

The FMCG sector includes some of Namibia’s largest retailers, manufacturers, wholesalers, distributors, and logistics companies.

Some employers deserve recognition for providing competitive salaries, pension schemes, medical aid, housing and transport allowances, bonuses, and career development opportunities.

However, these standards are not consistent across the industry.

Many workers continue to raise concerns about low wages, limited benefits, and difficult working conditions despite operating within highly profitable businesses.

This creates an uncomfortable question: where does the wealth generated by this industry go, and how much of it reaches the workers who create it?

Career advancement and representation present another pressing issue.

Namibia’s employment equity framework was established to promote fair participation and opportunities for previously disadvantaged Namibians.

Yet questions remain about whether leadership structures, remuneration and promotion opportunities within some companies truly reflect the country’s demographic realities.

These concerns require proper investigation based on evidence, not assumptions.

BEE CONCERNS

The role of black economic empowerment (BEE) within the FMCG sector also deserves closer examination.

Economic empowerment was created to expand ownership, participation, and opportunities for historically disadvantaged Namibians.

However, critics have raised concerns that empowerment initiatives in some sectors may benefit a limited group of individuals rather than creating broad-based economic inclusion.

The solution is not to attack private enterprise but to demand transparency, accountability, and inclusive growth.

The government must treat FMCG as a strategic economic sector deserving the same attention given to mining, energy, and other industries.

A profitable business environment and fair treatment of workers are not opposing goals. Sustainable businesses depend on motivated, respected and fairly compensated employees.

DATA AND DISPARITIES

To understand the true state of the industry, Namibia requires a comprehensive national study on FMCG employment, ownership, wages, benefits, compliance, and economic contribution.

It should involve institutions such as the Namibia University of Science and Technology, the University of Namibia, the International University of Management , the Namibia Statistics Agency, Namibia Institute of Public Administration and Management, the ministries of Industries Mines and Energy, International Relations and Trade, and Justice and Labour Relations, and the Namibia Revenue Agency.

The purpose should be to collect data on remuneration disparities, employment equity, labour practices, tax compliance, pension contributions, and workers’ welfare.

Only through credible information can government introduce policies that balance business growth with social justice.

The government must also strengthen local participation within the FMCG value chain. Institutions such as the Agricultural Marketing and Trade Agency must become more competitive and effective in supporting local producers, increasing local supply, and ensuring Namibian businesses can compete within the retail environment.

However, the most important issue remains the protection of workers’ rights.

Many employees in the FMCG, transport, and logistics sectors remain hesitant to join trade unions because of fears of victimisation, discrimination, or career consequences.

RIGHTS AND REALITIES

A workplace where employees are afraid to exercise their constitutional rights cannot achieve genuine social justice.

Namibia’s constitutional commitment to freedom of association must translate into practical workplace realities. Stronger enforcement against anti-union discrimination, effective labour inspections, and compliance with labour laws are essential. 

The Ministry of Justice and Labour Relations must establish a bill that mandates ‘unionisation by default’.

Just as Social Security commission deductions are automatic, union membership should be an automatic right.

When an employee joins a company in the FMCG sector, they should be registered through a union that holds a majority agreement with that firm by default. This is the only way to eliminate the climate of intimidation

Independent trade unions such as the Namibia Food and Allied Workers Union and other recognised worker organisations such as Namibian Revolutionary Transport and Manufacturing Union, play an important role in ensuring that employees have a collective voice. Through constructive engagement with employers and government, unions can contribute to fair bargaining, improved working conditions, and stronger labour relations.

THE CHALLENGE

President Netumbo Nandi-Ndaitwah has emphasised inclusive economic growth and improving the livelihoods of ordinary Namibians.

That cannot be achieved if economic success benefits only shareholders and executives while workers who sustain industries remain trapped in financial hardship.

Namibia’s true wealth is not confined to its mineral reserves or offshore oil fields; it is generated daily by the workforce keeping our supply chains moving. The FMCG sector is our invisible gold mine.

The challenge is not only to celebrate the profits generated by this sector but to ensure that those who help create this wealth share in its success.

A prosperous industry is not only about its profits but by the dignity, security and opportunities it provides to its workers.

– Hosea Shishiveni is a scholar and thought leader; hoseasn8@gmail.com


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