Namib Mills ready to conclude wage agreement

Namib Mills ready to conclude wage agreement

Namib Mills said it is ready to conclude a wage agreement and allow workers to return to work following months of industrial action that have disrupted operations at one of Namibia’s largest food producers.

The company and the Namibia Revolutionary Transport and Manufacturing Union (Naretu) have been locked in a wage dispute since early January 2026, when workers downed tools after negotiations over salaries and benefits collapsed.

In a statement, Namib Mills trade marketing manager Learni van Wyk said the latest round of talks, facilitated by the Office of the Labour Commissioner and Minister of Justice and Labour Relations Fillemon Wise Immanuel, made progress.

“We are pleased to announce that the most recent round of negotiations was constructive, and meaningful progress was made. The parties have reached broad agreement on all the outstanding substantive wage issues, and Namib Mills stands ready to conclude the agreement and lift the lockout so that employees can return to work,” she said.

However, Van Wyk said negotiations have stalled after the union introduced issues that fall outside the scope of the wage talks.

“However, the union has introduced items that are not included in the scope of substantive wage negotiations, preventing parties from reaching an agreement,” she said.

The dispute began after months of negotiations between the company and the union, which represents hundreds of workers across Namib Mills depots nationwide. 

Talks started in July 2025 but failed to produce an agreement, leading to a strike and a company lockout in January this year.

Nearly 700 workers affiliated with Naretu participated in the strike, which affected depots in Windhoek, Walvis Bay, Otavi and Ondangwa. Workers demanded higher wages, housing allowances, improved transport allowances, and protection for their December bonuses.

The union also called for salary alignment across job categories and better entry-level wages for employees in the bargaining unit.

Namib Mills offered a wage package that included a minimum salary increase to about N$4 100, at least a 5% salary increase and other benefits. The company said the overall package would increase the wage bill by about 10%.

But the union argued that the offer was not enough and pushed for significantly higher increases.

One of the main sticking points during negotiations has been the payment of December bonuses and back pay.

The company offered to pay striking workers 50% of their December bonus and five months’ back pay, while the union demanded full bonuses and seven months of back pay. During the strike, workers staged protests outside Namib Mills facilities, chanting slogans and accusing the company of unfair treatment. Union leaders warned that the dispute could become a national concern if it disrupted the supply of basic food products such as maize meal and flour. Namib Mills, however, maintained that it had contingency plans in place and that it could meet market demand for key products.

The company also raised concerns about incidents during the strike. Van Wyk said a small number of individuals allegedly breached strike rules by intimidating and threatening other employees, and in some cases physically harming them.

“These individuals committed serious misconduct. They intimidated, threatened, and in some instances physically harmed our employees. This is unacceptable,” she said.

The company said it has a responsibility to ensure the safety and wellbeing of employees and will conduct disciplinary proceedings against those involved if they return to work. Despite the tensions, Namib Mills said it remains committed to resolving the dispute.

“For more than four decades, Namib Mills has grown alongside its employees and the communities it serves. The company remains committed to fair engagement, open dialogue and a workplace built on respect, responsibility and the laws of Namibia,” she said.

-pmukokobi@nepc.com.na