5-minute countdown to dispute

AFTER only five minutes on Wednesday, wage talks between the Keetmanshoop Town Council and the Namibia Public Workers Union (Napwu) stalled.

A member on the negotiation team yesterday said the union has declared a dispute. ‘We’re now heading for the conciliation stages,’ he told The Namibian. ‘The workers are demoralised by the zero wage increase offer,’ he added. Wage negotiations started at the beginning of April. Napwu is demanding an increase of N$200 for Grades 1-5, N$300 for Grades 6-8, N$350 for Grades 9-11 and N$800 for Grades 12-14. On top of that the union wants an hourly standby rate of N$17,50, danger allowances of N$400 and a fire brigade allowance of N$400. The Council has offered a N$50 transport allowance and a 2,5 per cent increase on housing allowances. A source yesterday indicated that the Council is already exceeding spending on personnel costs, which should amount to no more than 35 per cent of its total expenditure, as stipulated by Local Government guidelines. The Council’s annual wage bill of N$12,9 million amounts to 36,61 per cent of its costs, constituting the bulk of operational expenditure. This, the source said, has restrained the Town Council from filling four key vacant managerial positions. ‘Council has reached the ceiling set by the Local Government Ministry, thus cannot afford any wage hike,’ the source added. Keetmanshoop CEO Paul Vleermuis yesterday refused to comment, saying only that the Council would continue to engage Napwu on resolving the dispute.