LHU and MUN reach agreement
ADOLF KAURE
The Langer Heinrich Uranium (LHU) management and the Mineworkers Union of Namibia (MUN) have reached an agreement on severance payments after the mine was put on care and maintenance due to low uranium prices.
With the mediation of the Erongo regional governor, Cleophas Mutjavikua, LHU and MUN signed the agreement which provides for an improved retrenchment package.
In terms of the agreement, laid-off workers will receive two months’ notice pay based on their total cost of employment. The notice pay excludes variable payments such as shift and overtime allowances.
They will also receive severance pay equivalent to two weeks’ pay per year of service as stipulated in the Labour Act.
The company will assist with applications for tax directives from the receiver of revenue where applicable.
Furthermore, employees owing the company for relocation costs will not have to pay back the money.
“At least we reached something that we agreed on. The Labour Act is just a start; it doesn’t stop you from valuing the people that have been working for you. I didn’t think that we could reach this agreement, but finally we did,” said the local branch chairman of MUN, Paulus Iipumbu.
The LHU’s human resource manager, Johan Roux, thanked the governor for mediating, and MUN for reaching an agreement.
“Retrenchments are something that is very difficult to handle. I am happy at this point to sign this agreement,” said Roux.
Governor Mutjavikua said conflict in labour relations is normal, as long as it is managed properly.
“Conflict in labour relations points out some issues that are normally not pointed out. It also removes certain issues like complacency. We bargained until we reached where we are now. Understanding of the issues is the cornerstone behind all agreements,” said Mutjavikua.
The mothballing of the uranium mine started on 13 June and will continue until August. About 300 LHU employees lost their jobs and another 300 contract workers will also be retrenched.
The mine has spoken to the Chamber of Mines of Namibia and the human resource departments of other mines about possibly employing some of its retrenched workers.
The Langer Heinrich Uranium (LHU) management and the Mineworkers Union of Namibia (MUN) have reached an agreement on severance payments after the mine was put on care and maintenance due to low uranium prices.
With the mediation of the Erongo regional governor, Cleophas Mutjavikua, LHU and MUN signed the agreement which provides for an improved retrenchment package.
In terms of the agreement, laid-off workers will receive two months’ notice pay based on their total cost of employment. The notice pay excludes variable payments such as shift and overtime allowances.
They will also receive severance pay equivalent to two weeks’ pay per year of service as stipulated in the Labour Act.
The company will assist with applications for tax directives from the receiver of revenue where applicable.
Furthermore, employees owing the company for relocation costs will not have to pay back the money.
“At least we reached something that we agreed on. The Labour Act is just a start; it doesn’t stop you from valuing the people that have been working for you. I didn’t think that we could reach this agreement, but finally we did,” said the local branch chairman of MUN, Paulus Iipumbu.
The LHU’s human resource manager, Johan Roux, thanked the governor for mediating, and MUN for reaching an agreement.
“Retrenchments are something that is very difficult to handle. I am happy at this point to sign this agreement,” said Roux.
Governor Mutjavikua said conflict in labour relations is normal, as long as it is managed properly.
“Conflict in labour relations points out some issues that are normally not pointed out. It also removes certain issues like complacency. We bargained until we reached where we are now. Understanding of the issues is the cornerstone behind all agreements,” said Mutjavikua.
The mothballing of the uranium mine started on 13 June and will continue until August. About 300 LHU employees lost their jobs and another 300 contract workers will also be retrenched.
The mine has spoken to the Chamber of Mines of Namibia and the human resource departments of other mines about possibly employing some of its retrenched workers.
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