Africa-Press – Namibia. FINANCE minister Iipumbu Shiimi says unions should refrain from demanding salary increases at a time when the economy is at its worst.
This comes as Namibia Public Workers Union (Napwu) and the Namibia Teachers Union (Nantu) are demanding that the government give public servants increments.
Shiimi told The Namibian that the public finances are at the worst level since Namibia’s independence due to the Covid-19 pandemic. The pandemic saw more than 14 500 workers retrenched and 3 567 lost their lives due to Covid-19.
“Morally it is, therefore, the right thing to do to refrain from demanding salary increases at a time when our public finances are at the worst level since our independence due to Covid 19,” Shiimi said.
He believes that salary increases will worsen the current dire economic situation in the country. “Salary increases would result in more job losses for many more Namibians, including civil servants who will initially enjoy salary increases,” he said.
He also reminded public servants that they, including himself, were fortunate not to lose their jobs and income. Furthermore, Shiimi said in his budget statement, he did not refer to the negotiations on salary increases.
“I just thanked the unions for their patience, and I also pleaded with them to allow the economy to recover,” he said.
In his speech, the minister expressed gratitude to trade unions and civil servants for heeding the government’s call and keeping their belts tightened. He also pleaded with them to be patient until the next fiscal year, which promises to be more difficult, “so we allow the economy to recover more firmly”.
Napwu and Nantu did not take kindly to these remarks, saying Shiimi made that statement in bad faith. The minister also clarified that he is not part of the negotiation team, saying that Cabinet secretary George Simataa is the leader of the government’s negotiation team.
The union wants a 10% increase in salaries, 10% increase in transport allowances for civil servants below management level, 9% increase in housing allowances, 25% increase in the qualifying amount for housing subsidies, as well as a N$7 per kilometre tariff increase.
Napwu secretary general Petrus Nevongo last week said Shiimi’s statements leave a sour note for the next round of negotiations on 29 November. The negotiations started on 25 February when the unions submitted their proposals. Nevonga said they will decide on a course of action after they meet later this month.
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