Namibia’s rail operator unable to meet wage increases due to financial constraints

Railway Project

Namibia’s national railway service provider, TransNamib is unable to meet any wage increases at the company at this particular time, Chief Executive Officer Johny Smith said Tuesday.

Johny Smith in a statement said due to its weak financial position, which is further exacerbated by the devastation of the company’s revenue during the lockdown period of the COVID-19 pandemic, the company can not afford increases.

“Even to date the ripple effect of the lockdown still continues to pile more misery on the national economy and company coffers in particular,” he said.

The rail company is currently not on good terms with the Namibia Transport and Allied Workers Union (NATAU) due to wage issues and according to NATAU, TransNamib employees have not had a salary increment since 2018.

“Management once again extends an olive branch of peace to its social partner NATAU, despite all existing challenges. We remain willing to discuss any matter in order to find an amicable agreement and resolution accordingly,” Smith added.

According to Smith, the sooner the parties can come back to the negotiating table and genuinely discuss matters, the quicker they will restore the previously excellent relations.

TransNamib provides rail transport services within and across the border of the country and specializes in the transportation of bulk, breakbulk and containerized freight and passengers. Enditem

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