On 19th July 2024, Hon. Brenda M. Tambatamba (M.P), Minister of Labour and Social Security, issued a Ministerial statement regarding an alleged planned countrywide protest by the Zambia Congress of Trade Unions following proposed amendments to the Employment Code Act No. 3 of 2019.
The following are highlights from the Ministerial Statement:
– The Minister said the Government is committed to addressing inequalities, fostering national development, and creating an enabling environment for a competitive labour market.
– In the efforts to create a favourable environment for a competitive labour market, the Ministry has strengthened labour market institutions by enacting the Zambia Institute of Human Resource Management Act No. 3 of 2022, revising statutory minimum wages, amending the National Pension Scheme Act No. 40 of 1996, and developing the Occupational Safety and Health Policy.
– So far, four hundred and sixty thousand, nine hundred and forty seven members have benefited and K9. 7 billion has been paid out to the beneficiaries. Further, the same amendment introduced penalty waivers to provide relief to businesses, to-date three thousand two hundred eighty-six employers have benefited and about three hundred and twenty-six million kwacha has been waived.
– Furthermore, the ministry has rehabilitated five district labour offices, improved integrated labour inspections, and reinstated the call centre accessible through the ZAMTEL toll-free number 7010. The Ministry has also developed a guide of Frequently Asked Questions to provide useful labour-related information to the public.
– The proposed amendments to the Employment Code Act aim to respond to challenges in the labour market, enhance stability, and accelerate job creation.
– A tripartite consultative labour council meeting was held on 09th May 2023 to agree on the roadmap for amending the Act, emphasizing the importance of tripartite consultations as required by the International Labour Organization.
– On the Consultative process, the Minister emphasizes that the process of amending the Employment Code Act is still in its infancy stage as it is being done through a consultative process in line with international labour standards and domestic laws. The Tripartite Consultative Labour Council plays a crucial role in fostering social dialogue and consensus building.
– In line with the progress update, the Minister outlines the progress made so far towards the amendment of the act, including the receipt of proposals from social partners and the consolidation of these proposals into a zero draft bill. This draft bill was subjected to initial comments at a consultative meeting in Siavonga District between 07th to 10th May 2024.
– The Minister emphasis on stakeholder engagement, stating the importance of including comments and positions of key stakeholders in the draft bill and highlights that the positions included in the draft bill are not final but will be subjected to further consultation with the Tripartite partners, including the Zambia Congress of Trade Unions.
– Offering clarity on proposed amendments, the Minister dispels concerns about the amendments seeking to remove gratuity and other allowances, stating that the proposed amendments are not repealing the entitlement to gratuity but are specifying the circumstances under which gratuity will be payable and the applicable rates.
– Regarding the Roadmap of the consultative process, the Minister outlines the roadmap of the consultative process, including the receipt of the draft bill from the Ministry of Justice, circulation of the draft bill for validation by stakeholders, a Tripartite Consultative Labour Council meeting for resolution, and submission of the draft bill to the Ministry of Justice for finalization and submission to Cabinet for approval before introduction into Parliament.
