12 December, 2010
How common is Contract and Agency Labour (CAL) in Mozambique?
At the moment, we do not know how frequently this employment practice is used. In September, we discovered for the first time the use of contract workers in Maputo – in a factory with 1,700 workers, there were at least 800 on fixed-term contracts. We also discovered that at another factory, which produces washing powder, all employment comes through labour agencies.
More companies are taking advantage of the new labour law of 2007, which says that it is possible to have three-month, six-month, and one-year fixed contracts. Permanent work was much more common with the old law. Many companies are functioning normally, but still making retrenchments. Fixed-term contracts and other types of employment practices are then brought in.
The previous law was stronger and provided better protection for workers’ rights, but companies wanting to invest in Mozambique thought the law was too rigid. The new law cancelled many rights, for example holidays have been reduced from 30 days to between 12 and 20 days. Under the old law, there was a bonus payment for seniority, but not anymore. When workers were retrenched under the old law, they were entitled to three months salary if they had worked for two years. Now, they are entitled to only 21 days salary.
What are conditions like for CAL workers?
According to the law, every worker is entitled to the same benefits, salary, etc. However, employers often do not obey the law. There are never salary increases for CAL workers and social security payments are not taken care of.
There was one case when an agency worker in a chemical factory had an accident when the sack he was carrying broke and chemicals burnt his skin. The worker asked the company to pay for his treatment, but the company said it was not responsible. When the worker asked the agency, they also denied responsibility. The worker eventually died from his injuries.
We became aware of the health and safety issue to CAL after an ICEM workshop where workers said there were big differences. Permanent workers have all their health and safety rights respected, but CAL workers do not. Our union needs to investigate this more, but it is already clear to us that employers look at health and safety for all as an additional cost. The union is demanding check-ups for everyone, and the labour inspectorate is looking at these issues very seriously, especially in two new factories – one for textiles, one for glass – that are going to open. Our union is already there trying to make sure that the rights to negotiate, and to a healthy and safe working environment are respected.
Even if the government is in favour of reasonable conditions, international investors would like less regulations and more flexibility. They have publicly announced that they would like another new law! The Mozambique Chemical and Allied Workers’ Union has rejected this, as the law was a result of heavy tripartite negotiations, and not something that we are going to do again.
What actions has your union taken on CAL?
Once we became aware of the problem – it was brought to our attention through the ICEM project which made us sensitive to the issue – we took action very quickly. We have had some success with changing the attitude of companies and getting them to accept contracts of longer duration for contract workers.
It is difficult for us to get information about what is happening behind the scenes as the situation is very opaque, but we are trying to organise CAL workers. We have already started to invite them to come to meetings where we’ve explained that they have the same rights as everybody else. It is difficult to access CAL workers so we invite them to come to our office.
The constitution of our union is open and the labour law says that workers are free to have union activities in the workplace or outside if need be, so that is not a problem. LOFTF in Denmark has also assisted us a lot by funding the production of brochures and pamphlets to inform CAL workers about their rights. With the project funded by LOFTF, we have managed to provide free legal assistance to members who have paid their dues – this is a very powerful organising tool.
What plans has the Mozambique Chemical and Allied Workers’ Union for the future, with regard to CAL?
We want to research the extent of the contract, agency labour problem and to inform all workers about their right to join a union. We will also engage with companies and employment agencies so they recognise that workers’ basic rights must be respected regardless of whether they are employed directly or not.
The trouble is that companies like to keep CAL workers ignorant about their rights, and union people are sent away. The more ignorance there is, the more exploitation there is. In the workshop organised by the ICEM, one worker said he was not sure if he could continue in his job because he had attended the workshop, but the labour inspectorate said they would follow up with him and intervene if needed.
We are also planning to work with the labour inspectorate to investigate and correct working conditions. When we find a problem we create a “mixed brigade,” with representatives from the union and the inspectorate, to solve the problem. Unions need to be militant to encourage labour inspectors to work well, and to develop relationships with them.