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Mozambique: Unions Call for Investments in Productive Sector


Agencia de Informacao de Mocambique (Maputo)
 

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Agencia de Informacao de Mocambique (Maputo)

1 May 2008
Posted to the web 1 May 2008

Maputo

The Mozambican government should adopt economic polices "more favourable to the productive sector, which is what generates development and creates jobs", declared Alexandre Munguambe, general secretary of the country's largest trade union federation, the OTM, on Thursday.

He was speaking at the traditional May Day rally, this year held in the industrial city of Matola. Thousands of workers filed past the podium, carrying placards and banners denouncing low wages and pensions, and protesting against those many companies which are robbing their employees by deducting social security contributions from their wages, but failing to pass them on to the National Social Security Institute (INSS).

As in previous years, the marchers also demanded that the long promised labour tribunals be set up. The failure to create these tribunals means that labour disputes are dealt with by the ordinary courts, where they join a huge backlog of other cases.

Munguambe warned that "only decent jobs, where workers feel dignified, can create conditions for the effective development of the country and for the reduction of the high level of poverty".

He noted that the May Day march this year took place after the successful conclusion of negotiations on the statutory minimum wage. Unusually, this year the unions, the employers and the government were able to reach agreement within the tripartite negotiating forum.

The minimum wage system has become much more complex. Previously there were just two minimum wages - one for industry and services, and one for agriculture. But now the work force has been divided into nine sectors, each with a different minimum wage. The increases in the minimum wage range between 10 and 30 per cent, although the exact figures have not yet been published. As in previous years, the new minimum wage will be backdated to 1 April.

Munguambe said the unions felt encouraged because the percentage rises negotiated were higher than had been achieved in recent years. "But evidently the minimum wages agreed are still a long way from meeting the expectations of the workers in terms of improving their quality of life", he said. Even with the increase, the minimum wage still only purchased less than 50 per cent of the basic needs for the average sized family of five people.

But the minimum statutory wage is just the basic level below which wages must not fall. There is nothing to stop companies from paying much higher wages. The struggle now, Munguambe said, would be to negotiate for higher minimum wages in each workplace.

"Dialogue between employers and unions to establish collective bargaining instruments is key for labour stability", he declared.

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Munguambe also expressed concern at the impact that rising international food and fuel prices will have on poor countries such as Mozambique. That meant, he insisted, that the government must pay greater attention to the productive sector, and particularly to agriculture. The search for solutions to the food crisis "must necessarily involve exploiting the great potential the country has for producing food, and implementing measures to achieve food security".

"Investments must be encouraged in agriculture, livestock and agro-industry", he urged, "providing job opportunities, and valuing the workers in these key sectors".

The unions' main interest, he added, was that the government should "define and implement strategies that seek to reduce the cost of living, by prioritizing the expansion of domestic production and a rise in productivity".



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