WINDHOEK- Public Service Union of Namibia (PSUN) has asked government to exempt the loss-making Road Contractor Company (RCC) from the requirements of the public procurement processes, saying that exemption is the only option left to save parastatal which is on the verge of collapsing.
PSUN acting-secretary general, Ujama Kaahangoro addressing the media here yesterday said it is becoming apparent that the future of RCC is bleak and that close to 300 employees are on the verge of losing their jobs.
“We do not believe in bailing out of ailing state-owned enterprises without setting out a long-term sustainable rescue plan, therefore we suggest that the RCC be exempted from the requirements of the public procurement process,” stated the union leader.
Kaahangoro also suggested that RCC be given a percentage of roads maintenance work for a particular period of time and which will be run and monitor by personnel with the requisite skills who will either be seconded from the ministries or any agency as opposed to closing down the parastatal.
Kaahangoro says the union still believe that a complete strategic rescue plan for the RCC will give it a life line and unnecessary job losses will be averted.
“Under the voltaic circumstances we plead with President Hage Geingob to have a change of heart and to direct the Cabinet Committee on Treasury (CCT) and the Cabinet to come-up with a sustainable strategic rescue plan other than liquidation or closing down of this company as this will have adverse effect on the future of innocent employees and their dependents,” he said.