SPEECH BY THE PRESIDENT OF THE ZAMBIA FEDERATION OF EMPLOYERS MRS MYRA SAKALA NGOMA AT THE ZFE 55TH ANNUAL GENERAL MEETING, SANDY’S CREATION FRIDAY 21 APRIL 2023.

  • THE GUEST OF HONOUR MINISTER OF LABOUR AND SOCIAL SECURITY MRS BRENDA MWIKA TAMBATAMBA BEING REPRESENTED BY THE PERMANENT SECRETARY IN THE MINISTRY MR. ZACHARIA LUHANGA,
  • THE ASSISTANT LABOUR COMMISSIONER MRS. MUKAMASOLE MUNDALE KASANDA
  • THE PRESIDENT OF THE ZAMBIA CONGRESS OF TRADE UNIONS MR. BLAKE MULALA
  • THE PRESIDENT OF THE FEDERATION OF FREE TRADE UNIONS OF ZAMBIA MR. CHINGATI MSISKA
  • THE REPRESENTATIVE OF THE ILO COUNTRY OFFICE FOR ZAMBIA, MALAWI AND MOZAMBIQUE
  • CEO’S FROM ZFE MEMBER ORGANISATIONS
  • DISTINGUISHED MEMBERS OF THE PRESS
  • LADIES AND GENTLEMEN

I AM DELIGHTED TO WELCOME YOU ALL TO THE OFFICIAL OPENING OF 55TH ZFE ANNUAL GENERAL MEETING.

FROM THE ONSET, LET ME TAKE THE OPPORTUNITY TO THANK YOU, OUR GUEST OF HONOUR, AND YOUR TEAM FROM YOUR MINISTRY FOR ACCEPTING OUR INVITATION TO OFFICIATE AT THIS FUNCTION.

ALLOW ME ALSO APPRECIATE THE PRESENCE OF ALL THE INVITED GUESTS THAT ARE HERE ANDTHE MEMBERS OF THE ZAMBIA FEDERATION OF EMPLOYERS. OUR DISTINGUISHED MEMBERS OF THE PRESS, I A SPECIAL WELCOME TO YOU ALL. 

GUEST OF HONOUR, LADIES AND GENTLEMEN THE LAST TIME WE HELD OUR AGM WHICH WAS THE 54TH ZFE AGM, WAS IN DECEMBER 2021.  AND IT WAS HELD RIGHT HERE. DUE TO THE COVID 19 INCIDENCES DURING THE YEAR 2022, WE WERE UNABLE TO HOLD THIS 55TH AGM.  I AM THEREFORE GLAD THAT WE HAVE NOW MANAGED TO HOLD THIS MEETING.

GUEST OF HONOUR, AS YOU ARE AWARE, ZFE IS A BUSINESS MEMBER ORGANISATION AND AS SUCH, WE HAVE A RESPONSIBILITY TO RAISE ISSUES THAT ARE OF CONCERN TO THE GENERAL MEMBERSHIP, WHOSE INTERESTS WE SERVE. THIS WE HAVE DONE OVER THE YEARS OF OUR EXISTENCE AND WORKING TOGETHER WITH OUR SECTOR EMPLOYER ASSOCIATIONS WHO ARE ALSO MEMBERS OF THE ZAMBIA FEDERATION OF EMPLOYERS SUCH AS:

THE ZAMBIA CHAMBER OF COMMERCE AND INDUSTRY (ZACCI),

THE ZAMBIA ASSOCIATION OF MANUFACTURERS (ZAM),

THE CHAMBER OF MINES (CM),

THE ZAMBIA NATIONAL FARMERS UNION (ZNFU),

THE HOTEL AND CATERING ASSOCIATION OF ZAMBIA (HCAZ)

THE TRACKERS ASSOCIATION OF ZAMBIA (TAZ),

THE ZAMBIA CHAMBER OF SMALL AND MEDIUM BUSINESS ASSOCIATION (ZACSMBA) ,

THE PENSIONS AND INSURANCE ASSOCIATION OF ZAMBIA (PIAZ),

THE LIVINGSTONE TOURISM ASSOCIATION OF ZAMBIA AND

THE LUANGWA SAFARI TOURISM ASSOCIATION.

HAVE OVER THE YEARS PROVIDED A FORMIDABLE VOICE OF THE PRIVATE SECTOR IN ZAMBIA.   FURTHERMORE, IN RAISING THE CONCERNS OF OUR MEMBERS, WE HAVE ALWAYS BEEN MINDFUL OF THE INTERESTS AND WELFARE OF THE WORKERS IN ZAMBIA AND ACCORDINGLY, WE HAVE ALSO PLAYED A MAJOR ROLE IN ADVISING OUR MEMBERS ON THEIR RESPONSIBILITIES TO RESPECT THE RIGHTS OF WORKERS, INCLUDING THE RIGHT TO BELONG TO TRADE UNIONS, AND THE PROMOTION OF INDUSTRIAL PEACE AND HARMONY IN THE WORLD OF WORK AND THE COUNTRY AT LARGE. WE ARE DELIGHTED THAT DURING THE YEAR 2022 THE COUNTRY ENJOYED INDUSTRIAL PEACE AND HARMONY, AS WE DID NOT RECORD MAJOR OR PROLONGED CASES OF INDUSTRIAL STRIFE. FOR THIS REASON, I WISH TO COMMEND THE TRADE UNION LEADERSHIP FROM THE ZAMBIA CONGRESS OF TRADE UNION AND THE FEDERATION OF FREE TRADE UNIONS OF ZAMBIA, AND THOSE IN THE LEADERSHIP OF THE VARIOUS SECTOR UNIONS, IN BOTH THE PUBLIC AND PRIVATE SECTORS, FOR ENSURING A PEACEFUL INDUSTRIAL RELATIONS ATMOSPHERE IN THE COUNTRY.   THE EMPLOYERS TOO DESERVE A COMMENDATION FOR THE SAME REASON OF MAINTAINING INDUSTRIAL PEACE AND HARMONY.

WE HOPE AND PRAY THAT THIS SPIRIT WILL BE MAINTAINED THROUGHOUT THIS YEAR AND THE FUTURE YEARS TO COME, AND THAT BOTH WORKERS AND EMPLOYERS IN ALL SECTORS OF THE ECONOMY, WILL FOCUS ON INCREASING PRODUCTIVITY SO THAT WE CAN SUSTAIN THE BUSINESS OPERATIONS AND THE JOBS THAT ARE SO FAR EXISTING IN THE COUNTRY.

MOVING ON GUEST OF HONOUR, I WISH TO REMIND YOU THAT OVER SO MANY YEARS AND IN OUR QUEST TO ADVOCATE FOR A CONDUCIVE BUSINESS ENVIRONMENT  IN ZAMBIA, WE REPEATEDLY RAISED A CONCERN OVER WHAT WAS THEN A PENALTY RATE OF 20% COMPOUNDED INTEREST  CHARGED ON EMPLOYERS FOR LATE REMITTANCE OF THE NAPSA CONTRIBUTION . WE MADE IT KNOWN THAT THE RATE WAS VERY HIGH AND A STUMBLING BLOCK TO BUSINESS GROWTH IN THE COUNTRY.  

WE ARE GRATEFUL THAT BARELY A YEAR AND SOME MONTHS IN OFFICE, THE NEW DAWN ADMINISTRATION HAS BEEN ABLE TO LISTEN TO OUR CRIES AND HAVE AMENDED THE NAPSA ACT TO REDUCE THE PENALTY TO ONLY 10%.   AND IN ADDITION THE ACT NOW HAS GRANTED POWERS TO THE DIRECTOR GENERAL TO WAIVE PENALTIES WHERE IT MAY BE FOUND REASONABLE TO DO SO.  THANK YOU!

TO BALANCE THE EQUATION GUEST OF HONOUR THE NEW DAWN GOVERNMENT HAS ALSO LISTENED TO THE CRIES OF THE ZAMBIAN WORKERS OVER THE NON PAYMENT OF A LUMP SUM FROM THE NATIONAL PENSION SCHEME TO EMPLOYEES THAT MEET THE CONDITIONS OF QUALIFYING FOR MONTHLY PENSION IN THEIR RETIREMENT AGE AND THE REPUBLICAN PRESIDENT HAS SIGNED INTO LAW, THE NATIONAL PENSION SCHEME AMENDMENT BILL 2023 TO PROVIDE FOR A PARTIAL WITHDRAWAL TO THE ZAMBIAN WORKERS UNDER NAPSA. THIS IS COMMENDABLE AND IT SHOWS HOW MUCH CARING THE NEW DAWN GOVERNMENT IS TO THE ZAMBIAN CITIZENS. IT IS NO DOUBT THAT THE ZAMBIAN WORKERS WHO ARE UNDER NAPSA ARE VERY DELIGHTED ABOUT THIS, HENCE THE LONG QUEUES THAT WE HAVE SO FAR SEEN IN TOWNS AND DISTRICTS WHERE NAPSA HAS OFFICES.

GUEST OF HONOUR WE HAVE ALSO NOT FORGOTTEN AS ZFE THAT WHEN THE CURRENT EMPLOYMENT CODE ACT NO. 3 OF 2019 WAS PASSED WE DID RAISE CONCERNS THAT IN SOME CASES THE ACT DID NOT PROMOTE INVESTMENT INTO THE COUNTRY AND THEREFORE CERTAIN SECTIONS NEEDED TO BE REVISED OR TO BE COMPLETELY REMOVED.  HOWEVER, OUR CONCERNS WERE SIMPLY REGARDED AS NOISE MAKING BY THE PREVIOUS ADMINISTRATION WHO VIEWED US AS SIMPLY CAPITALIST WANTING TO EXPLOIT THE ZAMBIAN WORKERS. WE ARE ALSO GRATEFUL AND WISH TO COMMEND THE NEW DAWN ADMINISTRATION AND IN PARTICULAR THE MINISTRY OF LABOUR AND SOCIAL SECURITY FOR HAVING CONSIDERED THE CONCERNS OF THE PRIVATE SECTOR AND FOR ALLOWING A REVIEW PROCESS OF THE LABOUR LAWS IN ZAMBIA TO TAKE PLACE WHILE MAINTAINING THE FACT THAT WORKERS’ RIGHTS MUST BE RESPECTED AT ALL TIMES AND IN EVERY ENTITY.

WE BELIEVE, STRONGLY, THAT THIS MOVE IS ABOUT YOUR GOVERNMENT BEING CONCERNED ABOUT THE HIGH LEVELS OF UNEMPLOYMENT IN THE COUNTRY, AND THEREFORE WORKING TOWARDS CREATING AN ENABLING BUSINESS ENVIRONMENT, TO PROMOTE OPPORTUNITIES FOR EMPLOYMENT CREATION FOR THE YOUTH AND EVERYONE ELSE WHO IS UNEMPLOYED.  AS ZFE, WE REMAIN COMMITTED TO ENSURING THAT WE EFFECTIVELY PARTICIPATE BY PROVIDING MEANINGFUL INPUT TO THE ONGOING LABOUR LAW REVIEW PROCESS.

 GUEST OF HONOUR, IT IS NOT A SECRET, (GOING BY THE RESULTS OF OUR LABOUR FORCE SURVEY REPORTS OF BOTH 2020 AND 2021) THAT OUR EMPLOYMENT TO POPULATION RATIO, (WHICH DEFINES THE PROPORTION OF A COUNTRY’S WORKING AGE POPULATION), HAS BEEN ON A LOWER SIDE. TO TURN THIS AROUND AND HAVE A HIGH RATIO OF EMPLOYMENT TO POPULATION, MEASURES TO ATTRACT BOTH LOCAL AND FOREIGN INVESTMENT FLOW IN THE COUNTRY ARE NEEDED.

GUEST OF HONOUR, LADIES AND GENTLEMEN, HAVING LISTENED TO A NUMBER OF STATEMENTS BY THE GOVERNMENT AND HAVING BEEN INVOLVED AS ZFE IN A NUMBER OF CONSULTATIVE MEETINGS WITH THE GOVERNMENT, ESPECIALLY ON THE NATIONAL ECONOMIC AGENDA, WE HAVE COME TO A CONCLUSION, THAT THE GOVERNMENT IS WORKING TOWARDS UNLOCKING THE COUNTRY POTENTIALS IN ALL SECTORS OF THE ECONOMY FOR SUSTAINABLE, HOLISTIC AND INCLUSIVE NATIONAL DEVELOPMENT. WE FIND THIS CLEARLY STATED IN THE 8TH NATIONAL DEVELOPMENT PLAN WHICH HAS FOUR (4) STRATEGIC DEVELOPMENT AREAS NAMELY: ECONOMIC TRANSFORMATION AND JOB CREATION, HUMAN AND SOCIAL DEVELOPMENT, ENVIRONMENTAL SUSTAINABILITY AND GOOD GOVERNANCE.  THIS IS COMMENDABLE.

WE NOTE THAT THIS WILL NOT BE WITHOUT CHALLENGES, GIVEN THE CURRENT UNSUSTAINABLE DEBT LEVELS. WE THEREFORE, WISH THE GOVERNMENT WELL IN ITS ENGAGEMENT WITH THE CREDITORS IN THE NEGOTIATIONS FOR RESTRUCTURING OF THE DEBT, AS THESE NEGOTIATIONS ARE BEING DONE ON BEHALF OF THE ZAMBIAN PEOPLE.  WE COMMEND THE GOVERNMENT FOR EFFORTS SO FAR MADE, SUCH AS REACHING STAFF LEVEL AGREEMENT, ON THE FIRST REVIEW OF THE EXTENDED CREDIT FACILITY PROGRAM WITH THE INTERNATIONAL MONETARY FUND (IMF) ON ECONOMIC AND FINANCIAL POLICIES, AS THIS WILL ANCHOR PROGRAM IMPLEMENTATION FOR THE NEXT 12 MONTHS. NEVERTHELESS, WE WISH TO ADVISE THE GOVERNMENT TO HAVE A PLAN B ON DEBT REPAYMENT AND ALTERNATIVE AND STRATEGIC WAYS OF UNLOCKING THE COUNTRY’S POTENTIAL, TO MAKE A FORTUNE FROM ITS RICH MINERAL RESOURCES, ESPECIALLY, THE GOLD THAT THE COUNTRY HAS NOT FULLY EXPLOITED. IT IS OUR VIEW THAT THE STATE MUST FULLY PARTICIPATE IN THE BUSINESS OF MINING, SO THAT PROPOSED REFORMS SUCH AS BOOSTING REVENUE COLLECTION AND IMPROVEMENTS IN REVENUE ADMINISTRATION, IS NOT SO MUCH ABOUT INCREASING TAXES FROM TAX PAYERS BUT ALSO ABOUT HOW MUCH REVENUE THE STATE CAN MAKE OUT OF ITS PARTICIPATION IN DOING BUSINESS THROUGH STATE OWNED ENTERPRISES.

REGARDING THE CURRENT FUEL PUMP PRICE WHICH WE CONSIDER HIGH AND HAS SIGNIFICANTLY CONTRIBUTED TO THE HIGH COST OF LIVING, WHILE WE HAVE WELCOMED THE ELIMINATION OF SUBSIDIES ON FUEL BY MAKING PUMP PRICES COST REFLECTIVE, IT IS OUR SINCERE HOPE THAT THE NEXT PUMP PRICE REVIEW BY THE ENERGY REGULATION BODY (ERB) MUST RESULT IN A REASONABLE REDUCTION,  GIVEN THE RECENT APPRECIATION OF THE ZAMBIAN KWACHA AND THE EFFICIENCY SO FAR SCORED, BY THIS GOVERNMENT, IN THE COMPLETION OF THE CLEANING OF THE TAZAMA PIPELINE – AND THE SUBSEQUENT USE OF IT TO TRANSPORT DIESEL AT A CHEAPER TRANSPORTATION COST.

GUEST OF HONOUR, LADIES AND GENTLEMEN, LET ME NOT TAKE TOO MUCH OF YOUR TIME BY MAKING A LONG SPEECH.

I ONCE MORE WANT TO SAY THANK YOU VERY MUCH FOR COMING TO THIS AGM

 LITUMEZI, TWALUMBA KAPHATI, TWATOTELA, ZIKOMO KWAMBIRI, TWASANTA MWANE

THANK VERY MUCH

MAY OUR GOOD LORD BE WITH YOU ALL.

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