NBC WAGE NEGOTIATIONS UPDATE
Following the Board meeting on Tuesday, 19th January 2021, NBC Management met the NAPWU leadership on Tuesday, 26th January 2021 and the following wage negotiation feedback was provided to NAPWU:
1. NBC is always committed to any negotiation process geared towards mutual benefit to both the employer and employees.
2. The impact of COVID -19 on the Global Economy and by extension to the Namibian Economy is having an adverse effect to various levels of our society. The NBC is also not immune to this situation. Therefore, this cannot be ignored when engaging in wage negotiations.
3. Job security has always been a priority for NBC and is regarded as a key aspect of caring for employees, hence no NBC employee was retrenched during the past five years, and especially during the financial difficult times.
4. NBC as an organisation is one of the well remunerating entities in the country and offers excellent fringe benefits. During these difficult economic times whereby some Namibians have become unemployed, we cannot continue to be tone-deaf and insensitive and insist on salary increases, while the main Shareholder, the government has not given increases for the past four years to its own employees.
5. Despite all these headwinds facing the NBC, the Board of Directors are amenable to a once-off payment which is valued at N$ 7,605,000.00 for employees in the Bargaining Unit. It was also communicated that the intention is to effect payment of amounts varying from N$10,000 to N$20,000 per employee in the Bargaining Unit or it could be a flat N$15,000 as once off. However, these are subject to NBC sourcing funds to cater for this.
6. NAPWU was also reminded of the fact that about 70% of NBC employees in the bargaining unit have been receiving notch increases of between 3.5% to 4% as well as guaranteed 13th cheques/bonuses religiously for the past five (5) years. Hence, the notion that all NBC employees have not received any wage increase of some kind for the past two years is totally false. The outstanding 30% are employees who have reached the maximum notch levels of the salary scales and would obviously not qualify for notch increases but have received their 13th Cheque/Bonuses annually for the past five (5) consecutive years.
7. The NBC has for the past five years and as per legal contractual obligation, paid an amount of N$53 Million to employees on both TCTC and Conventional/normal salary structures as guaranteed 13th cheques/ bonuses, notch increases and performance incentives. Employees on the Conventional/Normal salary structure received their payments for the past five (5) years to the tune of N$47.6Million. This amount consisting of notch increases and guaranteed 13th cheques/bonuses amounts to N$9.5Million paid religiously every year.
8. For those on TCTC, the performance incentives were deferred for the past five years because NBC’s own generated revenue ended up being used to fund other NBC’s operations, including the 13th cheque/ bonuses and notch increases for employees on the conventional/normal basic salary structure. These are staff members who are guaranteed of employment as well given that their contracts end at retirement.
9. In short, the NBC also had a legal duty to own up to the contracts of those who are on the TCTC pay structure and most of their employment contracts run for five (5) years after which they are not guaranteed any employment. The amount paid out equals N$5.4 million (which is part of the N$53million) over five years denoting that N$1.08 Million has been paid per annum. Therefore, these payments like with that of the staff on the Conventional pay structure were legally due to staff on the TCTC as per the terms of their employment contracts. The Wage Negotiations is a process on its own and cannot be linked to any of the above. Equally, the NBC never made any announcement around staff who are on the Conventional/Normal pay structure about them receiving their contractual notch increase and/ or 13th cheque payments to the rest of the staff of N$9.5 Million annually.
In the meantime, NBC respects the right of NAPWU to decline the said offer and to embark on any industrial action during the period in which the Namibian nation, including the NAPWU Leadership is highly dependent on NBC Radio and TV for COVID-19 related information and related updates.
NBC Management is also fully aware of the “show of force” against possible upcoming alternative unions in the labour market and especially those in the public sector and in broadcasting. NBC’s wish is to serve the Namibian nation at large through its mandate and wish to be left out in fights which have nothing to do with the corporation. Stanley B SIMILO Director General