Calls for prescribed minimum wage in tourism industry amplified

The recent Hospitality Association of Namibia (HAN) congress, aimed at developing a roadmap for the country's tourism industry, delved into crucial issues affecting the sector. Among the topics discussed, Kristin Maritz, an employee of the Namibian Professional Hunting Association (NAPHA), drew attention to the hindrance caused by the absence of a prescribed minimum wage in building a skilled tourism workforce. Maritz emphasized the need for data collection and the implementation of minimum wage policies, similar to the agricultural sector, to address the issue and promote a more effective dialogue between employers and employees.

“This will not be a small feat, as there are many different positions within the industry, as well as jobs that overlap with the agricultural sector. The problem, as discussed at the HAN congress, of the shortage of skilled labour calls for a more nuanced overview on what a skilled person in their field of employment can expect in terms of salary and benefits,” Maritz said.

One of the main consequences of the absence of a prescribed minimum wage, as highlighted during the HAN congress, is the misalignment between employee expectations and employer offerings. Skilled workers in the tourism sector, facing uncertainty in terms of remuneration, are more likely to seek opportunities in other fields where their passions and salary expectations are met or even consider migrating to countries that offer higher salaries in their respective areas of expertise.

Responding to queries on the lack of a prescribed minimum wage, the chief public relations officer at the ministry of labour, industrial relations and employment creation, Maria Hedimbi, confirmed that there is no prescribed minimum wage in the tourism industry. “There is currently no prescribed minimum wage in the tourism. However, a study on national minimum wage was done minimum wage was done by the Wages Commission on Minimum Wages. The study was to investigate all relevant industries, report and make recommendations to the Minister of Labour whether or not introduce the national minimum wage. The Commission has submitted its report to the minister and he [minister] will announce to the public once the process is fully completed,” Hedimibi stated

Furthermore, recognizing the challenges brought forth by the lack of a prescribed minimum wage, stakeholders at the HAN congress echoed Maritz's concerns. “The minimum wage is vital as it sets a benchmark or yardstick on salaries (in the form of ranges) for various positions in the Hospitality and Tourism industry. The lack of a minimum wage at times leads to an advantaged position for the employer, which may eventually lead to an unbalanced working relationship, eventually result in tensions causing exploitation of workers. At times recruitment of less skilled workforce is encouraged and conduct on job training (OJT). This practice keeps labour costs lower than average,” commented congress attendee and hospitality lecturer, Gerald Cloete.