Industry

Proposed strike will be detrimental: TransNamib

Summary

TransNamib Holdings Limited Chief Executive Officer (CEO), Johny Smith has said the proposed strike by employees of the national rail services operator will be detrimental to the company’s upward trajectory focus.Addressing a press conference here Tues…

TransNamib Holdings Limited Chief Executive Officer (CEO), Johny Smith has said the proposed strike by employees of the national rail services operator will be detrimental to the company’s upward trajectory focus.

Addressing a press conference here Tuesday, Smith said management and the board have set up a nine to 12-month plan which could change the fortunes of the struggling State-owned enterprise.

“We remain hopeful and appeal to TransNamib employees to evaluate and understand the dire consequences of industrial action on the already struggling entity. Any strike action will always be futile because it will not change the fact that TransNamib does not have money for salary increments,” he said.

He added that should employees however choose to proceed with industrial action, the company will apply, the ‘No Work, No Pay’ principle during the strike period.

He stated that they have made plans to mitigate the effects of the strike and assured TransNamib clients that it will be business as usual for the establishment.

The CEO also said the company recently received financial assistance to the tune of N.dollars 175 million from the government, which will be used to advance the company’s financial position to improve rolling stock capacity and infrastructure conditions.

“This process will entail the refurbishment of about 12 locomotives to add to the current capacity and enable TransNamib to increase the number of trains it runs and allow more freight to be moved across the rail network. Simultaneously, there will be a focus on its medium to long term objectives to acquire new rolling stock with the secured funding,” he explained.

Smith cautioned that any form of industrial action will derail that progress, noting that as a company, they remain confident that TransNamib has finally reached a turning point and is positioned to affect real progress within the next 12 months.

Meanwhile, TransNamib Holdings Limited Board Chairperson Lionel Mathews said some of the money from the government had already reached TransNamib.

He also agreed with Smith, saying there has been constant contact between TransNamib and the Namibia Food and Allied Workers Union (Nafawu) to avoid industrial action.

Mathews said the strike, which was initially scheduled for 18 July 2022, was averted because of some irregularities by the union.

He further said neither he nor Smith had insulted union representatives during negotiations as widely reported by the media.

Source: The Namibian Press Agency