Maputo — The Mozambican Confederation of Free and Independent Unions (Consilmo), the smaller of the country's two union federations, has called for an increase in the statutory minimum wage to between 12,000 and 15,000 meticais (between 180 and 230 US dollars, at the current exchange rate).
The current minimum wages vary by sector, with the lowest in agriculture, of approximately 5,800 meticais a month and the highest in financial services at around 16,000 meticais a month.
Consilmo spokesperson Boaventura Sibinde was speaking to reporters on Monday, in Maputo, on the sidelines of a Plenary Session of the Labor Consultative Commission (CCT), the tripartite negotiating forum between the government, the trade unions, and the employers' associations.
The CCT was beginning this year's discussions on the increase in the minimum wages. There is no longer a single national minimum wage: instead, wages are negotiated sector by sector. Judging by previous years, the new wages will take effect as from 1 April.
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Sibinde declared that the unions "are participating in the negotiations with the aim of reaching a value that meets the basic needs of workers. We will always try to negotiate so that there is some reasonable value. Although the conditions may make negotiations difficult, workers have needs that cannot wait, because prices keep rising".
Sibinde added that the problems workers face are not limited to wages, "there are also issues related to their social security and medical assistance in companies. In many cases, the wage alone is not enough to cover all needs."
Sibinde believed that, if the minimum wage were between 12,000 and 15,000 meticais a month, workers could satisfy their basic food needs, and still guarantee the education of their children.
For his part, the representative of the main employers' body, the Confederation of Mozambican Economic Associations (CTA), Víctor Miguel, said that the negotiations must consider the weak performance of the economy and the challenges faced by companies, aggravated by armed conflicts, extreme weather events, and global difficulties.
"As long as we don't have effective peace, there will hardly be investment, and companies will not be able to prosper in a war environment,' he said, clearly referring to the battle against Islamist terrorism in the northern province of Cabo Delgado.
Miguel refused to speculate on the final sum for the new minimum wages. "It's impossible to say what the readjustment value will be, because it depends on the performance of each sector, and a large part of it was negative,' he claimed.
The government representative, Joaquim Siúta, highlighted that the final decision depends on an understanding between the social forces in the labour market (that is, between the employers and the unions).
"The social forces in the labour market are decisive in this process. They are the ones who will make the decision,' he said.
Siúta warned that the international context, including conflicts in the Middle East, could negatively impact Mozambique's economy, boosting the need for caution in the negotiations.