Africa-Press – Namibia. UNIONS assert that finance minister Iipumbu Shiimi spread lies about civil servants salary increases, saying negotiations are still ongoing.
Shiimi earlier this month, during the mid-term budget review, said civil servants would not be getting salary increases any time soon. Namibia Public Workers Union (Napwu) secretary general Petrus Nevonga said last week that negotiations on salary increments for civil servants are ongoing, and the minister had no right to say that the unions had foregone the increases.
“The information he communicated is misleading, unfounded and devoid of any truth. Napwu, the Namibia Teachers Union (Nantu) and the government are still engaging in negotiations for 2021/2022,” he said during a press conference.
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”.
However, Napwu and Nantu have not taken kindly to Shiimi’s remarks, saying that he made that statement in bad faith. “Shiimi is neither a member of the negotiating committee nor was he mandated by the committee to communicate on issues relating to the salary negotiation on its behalf,” Nevonga said.
The secretary general said Shiimi’s statements leave a sour note for the next round of negotiations, which takes place when the parties meet on 29 November.
The union want 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.
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.
“It remains a difficult economic environment,” said Shiimi.
He said the situation warrants targeted policy interventions to reboot economic growth and employment creation – albeit with limited fiscal space. This limited fiscal space means there are not sufficient funds for increments for civil servants.
Shiimi said the Office of the Prime Minister has a team of consultants to map out and finalise wage bill reforms. The wage bill is said to be the state’s biggest expense. Leading institutions, such as the International Monetary Fund, have described it as concerning. Salary increments have for some time caused strikes, especially with the teachers, who make up the bulk of civil servants.
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