Mozambique: State revenue up 13% in 2023 as corporate tax take grows 74%
Photo: O País
The Consulting Labour Commission yesterday formally started the negotiations meant to define new national minimum wages for the eight sectors of economic activity in Mozambique.
Gathered in its first session of the year and this five-year period, the Social Concertation Forum, which includes the government, unions and employers, reviewed several topics of interest, including the balance sheet of the 2019 Economic and Social Plan (PES-2019).
It was in light of this, Minister of Labour and Social Security Margarida Talapa said, that the reference macroeconomic framework for wage negotiations in the eight sectors would be defined.
Minister Talapa added that the new minimum wages were intended to be as compatible as possible with the current economic and financial situation of companies and activity sectors, in order to avoid a negative impact on employment and employers.
“The fact that we are adjusting the minimum wage on an annual and regular basis, even in times of economic and financial crisis, demonstrates maturity, seriousness and a high sense of responsibility from the government and social partners,” she said.
No proposals have as yet been put on the table, as the session was not meant to discuss salaries. But secretary general of the Workers’ Organisation of Mozambique-Central Trade Union (OTM-CS), Alexandre Munguambe, has pointed out that current levels of pay, even last year did not cover 25 percent of the cost of basic necessity goods, with the ‘cesta basica’ (“basic shopping basket”) budgeted at 19.600 meticais in 2019.
In 2020, the ‘basic basket’ for an average family costs about 22,700 meticais, which is why he advocates the approval of minimum wages which, while not necessarily high, at least cover workers’ essential expenses.
Representing the Confederation of Economic Associations (CTA), António Sousa noted that Mozambican companies were now facing difficulties imposed by Covid-19, in addition to the impact of cyclones Idai and Kenneth.
In such circumstances, Sousa appealed to the Consulting Labour Commission to find solutions that safeguarded existing jobs, which would be “severely affected by the new coronavirus”.
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