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Chapter 6: Working together


"When work is a pleasure, life is a joy! When work is a duty, life is slavery." Maxim Gorky (1868-1936), Russian novelist

When we refer to the tripartite relationship in Labour and we mean:
  1. Government
  2. Employees and their representatives (trade unions)
  3. Employers and their representatives (employer federations, chamber of mines, building industries, etc.)
Let us look at the role each is supposed to play, and then see how successfully they are doing it.


The past is with us
When considering labour relations in Namibia, we must remember the apartheid past which formed many of the present attitudes and practices still found in the country.

I personally became involved in a labour dispute with the organisation that employed me in a part-time position. The organisation did not have the financial stability and therefore I had not received a salary for a period of over ten months. I consulted on various projects during this time and the Chairperson brought me up for an externally heard disciplinary hearing. At the hearing he stated “ .. you work for the organisation and are a tool…”. Later during the hearing I was also compared to Hitler – this was to me especially sensitive as two of my daughters are of Jewish origin. These are fighting words for someone from my background especially as the Chairperson was white.

After much thought on the matter, I realised my reaction would have been over-sensitive in a situation that did not include growing up under the Apartheid regime. To be honest, my reaction would probably not have been so extreme if the chairperson had not been white.

Looking at labour unrest in specific sectors such as agriculture and mining, a person has to be aware, and sensitive to, the affect still being felt by Apartheid. If we discuss labour issues on a farm for instance, we must bear in mind that the contract between the worker and owner often pre-date our Independence.

Nevertheless, we have achieved our Independence and Apartheid is no longer a policy in the country. Now we must find solutions.

“We must remember: the knowledge of the master is to be able to properly employ his employees, for the mastership of employees is what they are instructed to do, not just in having employees; not that this knowledge contains anything great or respectable.”[i]

Workers
I purposefully use the word workers instead of employees. Regardless of the word we use it is clearly understood this is the Human Resource that is responsible for doing what only a human being can do. In other words, a thinking being is responsible for the achievement of a goal within a period of time.

It is also understood that in this relationship there is also an overseer. This person can either be an owner (thus the employer) or a manager – (thus a representative of the employer).

Sometimes I think many managers forget they are workers too! Thus when dealing with the issue of workers, I shall separate them into two topics, namely employees and managers.

Managers as workers
The Namibian economy is made up of a large percentage of absentee owners. This covers all sectors from farming, banking, and education and includes even franchise concepts. The owners of such business must rely on the local manager and their honesty.

How do owners of a business know the mangers making the day-to-day decisions are working at getting maximum benefit for the owners?

Let us not forget every human being will always act in their own self-interest. They will therefore find ways of stealing from the companies they run. They will often bend the rules or create new classes of benefits for themselves.

In business studies this is referred to as the “Principal-Agent Problem”. This refers to the problem of how a person (A) can motivate another (B) to act for the benefit of A rather than following their own self-interest.

This problem is found in both the private and public sectors. For now, the issue about the managers of state-owned enterprises is left for discussion in Chapter 14 on State owned Enterprises.

So how does this effect Namibia? The effects are two-fold.

The first effect is seen in the workers of such enterprises. They are aware of the dubious activities undertaken by management and therefore see no harm in also benefiting themselves. It is a matter of the managers explaining to the workers to do as I say, not do as I do.

The second effect is on the investment into our country. As the profits of the company are negatively affected by the behaviour of both classes of workers, the owners do not receive the full benefit of their investment. This leads to decisions of extracting the profits rather than re-investment which could be used for further manager enrichment.

The problem is the issue of ethics in Business. I deal with this later in the chapter on education.

Employees and their Unions
Workers are often unskilled, semi-literate and the working conditions allow for very little opportunity to become informed of their rights. Because of the nature of our independence struggle, most workers are however aware that the unions, through their affiliation to SWAPO, are an intimidating bargainer to employers.

The worker in Namibia, who pays his or her membership dues, expects protection, better pay, better working conditions, more benefits and a sense of belonging.


IT Workers
In the modern world the distinction between white-collar and blue-collar workers are not the same as they used to be. This is particularly so in the Information Technology sector.

The IT sector was previously considered white-collar, in that many of the employees were working as software engineers and programmers. Today, many of the IT workers are busy with the backbone or infrastructure as well as the data input and manipulation.

The sector needs to become organised into an ICT Employers Federation and an ICT Workers Union. Such a Union must ensure educational standards, professional qualifications and be able to publish regular industry wage and salary scales.

Most employers would argue that a unionised workforce is not desirable. Through my experience while working as secretary for the ICT Alliance, I have learnt to differ.

An organisation such as the ICT Alliance is representing the Namibian employers in the field. They, as volunteers, have the interest of their Namibian company or institution at heart and are a lobby group for further Namibianisation of the industry. In the tri-partite labour environment we have in Namibia, they therefore represent the employers of Namibian owned companies.

The data workers need to become organised as they are not only negotiating with Namibian companies, but more and more with international technology firms. As a Union they must:
  • be able to negotiate from a position of strength;
  • ensure standards of qualifications;
  • inform members of innovations and technology updates; and
  • provide health and pension plans.

Organised labour is a must if we want to improve the economy of our country.

* * *
While researching the topic of white collar workers, I came across the United Network International (UNI) Global Union. UNI was created on January 1, 2000, by members of The Communications International, FIET (the white collar and services global union), the International Graphical Federation and the Media and Entertainment International.

“UNI Global Union provides a voice and a platform for workers at the international level in jobs ranging from the night janitor in your office block to the big-time Hollywood director of your favourite movie. With 20 million workers in 900 unions worldwide UNI fosters international solidarity and provides a voice at the international level for all its members.

UNI is focusing on Global Agreements to achieve power and parity for workers at multinational corporations. In the age of globalisation this is more important than ever. The global economy is in crisis and workers are bearing a disproportionate part of the burden. The solution to the crisis must include a global employment strategy that creates sustainable well-paying employment with bargaining rights.”


Unions today
The Union movement in Namibia has seen many changes since Independence. The functionaries are becoming associated more closely with the SWAPO party, many are also on the election list. In addition, the Namibia Union of National is becoming a profitable business.

The following from the website of Bank Windhoek:[ii] 
“Nam-mic Financial Services Holdings (NFS) is the Group’s strategic empowerment partner. NFS holds investments in Capricorn Investment Holdings (7%), Welwitschia Nam-mic Insurance Brokers (20%), Consolidated Financial Services (5%), Capricorn Life Assurance Company (25%), Santam Namibia (10%) and Corporate Benefit Consulting (35%). The NFS subsidiary company, Nam-mic Financial Solutions offers micro finance to union members in partnership with Bank Windhoek.

... The remainder of 72.5% (of shares in NFS) is held directly or indirectly through investment companies of the National Union of Namibian workers, Mineworkers Union of Namibia, Namibia Public Workers Union, Namibia Food and Allied Workers Union, Namibia National Teachers Union, Namibia Farm Workers Union and the Namibia Transport and Allied Workers Union.”

As for Nam-mic Financial Solutions – the micro-lender:
“Alacrity will hold a 35% stake in the company, while the balance will be controlled by the people of Namibia through the shareholdings of Nam-mic Investment Holding Company (35%), Namibian Public Worker's Union (20%) and Namibian Food and Allied Workers Union (10%).”[iii]

These are a betrayal of the labour union movement ideals and can constitute a real danger to their continued existence. After all, who now represents the employees of these businesses in wage negotiations?

There must be a clear differentiation of the activities of unions and the use of union funds to purchase and manage business.

Employers
The Namibian economy needs to create jobs. The business sector has therefore been encouraged to be labour intensive rather than capital intensive. However, the employees in Namibia are perceived to be lazy and unproductive. This perception is often fed to visitors especially in our tourist industry. This is a self-defeating prophecy. It is many times a case of “give a dog a bad name”.

In fact, the Namibian worker can be as productive as their European counterpart. In a study between a European plant and a factory in the EPZ regime in Walvis Bay, it was found that the workers (more than 90% female) were more productive than the employees in Europe.

During my study of SME’s, I have often noticed that the entrepreneur that expands his business because there is too much work often looks for a “body” to fill the position. In contrast, an entrepreneur that wishes to increase the profits of a company looks for a suitable person, and ensures they get the training and development they need.

Employers need to spend more time on planning their Human Resources. Often more time is spent on preparing a financial statement or submission to the bank manager, than working together with employees on a HR Plan.

Over the past twenty years I have come to realise that the successful entrepreneur and manager sees their business as their own efforts. The “buying” of machines or workers is a means of increasing their own earning power. Thus only the best is bought, not the cheapest!


The future between Employers and Employees
The unions do have an important role to play. However, it should become a role of joint partnership rather one of confrontation. For this purpose, it would be useful to have a Labour Consultative Workshop between unions and employer representatives that could sponsor a Labour Advisory Council constituting representatives of both parties. Such a workshop could lead to a rejuvenation of our labour market as happened in the Netherlands.

In 1982 the Netherlands came to an agreement, (the Wassenaar Agreement), in which employers organisations and trade unions settled on wage moderation and job creation, mainly through decentralisation of wage bargaining. The government contributed tax cuts which served to compensate for relinquished wage increases. Working hours, hiring, firing and collective bargaining were all incorporated in a deregulated labour market.

In addition, the Dutch:
  • halved the income tax rate to 7%; and
  • shifted the burden of supporting the sick. In 1996 the employer became responsible to pay for the first year of sickness benefits. This led to much more safety and health consciousness in the workplace.

Increasing employment - the Government dilemma
The role of the Government in the developed world is to balance the creation of jobs against the expectations of the employees. The private sector is encouraged through various means to invest and create employment opportunities.

However, the labour force, through its Unions, have become so powerful, they often influence decision-making that is detrimental to job creation. Bluntly put, an investor puts their money where they get the best return. If labour costs are too high, they go elsewhere.

The Namibian Government has used a relaxation of the existing labour laws in its efforts to promote investment. The EPZ Act for example outlaws certain employee actions.

This has not worked.

Rather the government should work to streamline the hiring and firing processes across the board to allow flexibility for investors. It should rather provide incentives to employers who train and develop their existing workforce. For example, the Government could suggest a 1% of turnover be spent of computer literacy of all levels of employees over a three period. Those employers, who can document the training and testing through proof of International Computer Drivers Licences (ICDL) or some other equivalent, will receive a tax rebate of 5% for the five years thereafter.

Too much attention is put on preventive measure in our present labour laws. We should work together to create reactive measures which will encourage better cooperation throughout the work environment.

The Age Difference – Generation gap
Throughout this book I find myself returning to the same theme of TRUST. The breakdown in relationships between government, people, organisations, marriages, families, cultures, etc. all centre around the lack of trust. Trust is at an all time low in Namibia!

In the workplace, the trust relationship between managers and subordinate employees has also broken down. However, another element could be part of the problem. Is the difference in age – the Generation Gap – also playing a factor?

The workforce consists of individuals from a variety of backgrounds, ages, gender, cultures and beliefs. Every generation is also bringing a distinctive viewpoint or perspective in relation to their technological adaptation occurring in today’s world. In many countries this is accepted and management training is given to assist the older generation to understand the mindset of the younger and future employees.


ACORN Imperatives
The ACORN imperative is based on the concept from the book “Generations at Work”. These five operating ideas have helped many companies build organizations that accommodate differences, exhibit flexibility, emphasize respectful relations and focus on retaining talented and gifted employees.

Accommodate employees' differences:

  • Treat your employees as you treat your customers. Get to know your employees.


Create workplace choices:

  • Managers should work at creating a workplace where ideas are cultivated. Set the tone for creating an environment that is comfortable for employees.


Operate from a sophisticated management style:

  • Supervision style should be dynamic, not fixed.
  • Believe in situational leadership and understand when to lead, manage, or get out of the way.
  • Depend less on positional power than on personal power.
  • Know when to make policy exceptions, without causing a riot.
  • Match individuals to a team.
  • Match team or individuals to an assignment.
  • Balance concern for tasks and concern for people.
  • Understand the element of trust, and work to gain it from your employees. Strive to be perceived as fair, inclusive, and as a good communicator. Be competent.


Respect competence and initiative:

  • Assume the best of your employees. Treat everyone as if they have great things to offer. Motivate them to do their best.


Nourish retention:

  • Diverse organizations must improve employee retention. Learn to become a talent manager to get the most from your most valuable resource.

In the western world the following generations are used as classification:

Veterans
Veterans were born between 1922 and 1943. In the workplace, Veterans value dedication/sacrifice, hard work, conformity, respect for authority, as well as duty and honour. Assets of this generation include stability, loyalty, detail orientation, and thoroughness.

Baby Boomers
Baby Boomers were born between 1943 and 1960. In the workplace, Baby Boomers value optimism, team orientation, involvement, personal growth, health/wellness, and work. This generation is driven, good at relationships, and service oriented. They are good team players and are willing to go the extra mile.

Generation Xers
Generation Xers were born between 1960 and 1980. In the workplace, Generation Xers are diverse, balanced, self-reliant, and they think globally. This generation is adaptable, independent, creative, not intimidated by authority, and they are technologically literate.

Generation Nexters
Generation Nexters were born between 1980 and 2000. In the workplace, Nexters value civic duty, confidence, achievement, diversity, morality, and optimism. Assets of this generation include tenacity and a heroic spirit. They are capable of multi-tasking, collective actions, and they are technologically savvy.

How do we classify Namibian by age group?
This section should be taken with a pinch of salt – so smile.
ñ  Veterans
They were born before 1965 and grew up under the apartheid regime. Most saw military action as part of conscription or in exile.

ñ  Thinkers
This group were born between 1965 – 1980. This was during the uprisings occurring within Namibia and South Africa. They were part of the student uprisings or “Internal Struggle”

ñ  Born-frees
Born between 1990 and 2005. They were the generation to first taste the fruits of freedom. This was also a “lost generation” in terms of post colonial education

ñ  Whatevers
This generation is growing up where all cellular phones have cameras, their baby pictures (even while they were a foetus) are on Facebook and privacy is no real issue to them. They are our future.


[i]               A Treatise on Government by Aristotle - translation by William Ellis (1912)

[ii]              http://www.bankwindhoek.com.na/index.php?page=Financial%20Services – accessed 9 April 2009

[iii]              http://www.fin24.com/articles/default/display_article.aspx?Nav=ns&ArticleID=1518-24_1094547 – accessed 9 April 2009