TRIPARTITE COOPERATION LACKING

UNCLAS SECTION 01 OF 02 GABORONE 000685

SIPDIS

AF/S FOR HOFSTATTER

E.O. 12958: N/A
TAGS: PHUM ELAB PGOV BC
SUBJECT: TRIPARTITE COOPERATION LACKING

REF 04 GABORONE 1607


1. SUMMARY: Tripartite cooperation in Botswana's labor
sector is hampered by weak unions and a lack of trust
between labor, management and the Government. Participants
in a May 18-19 labor conference identified these factors as
causes of slow productivity growth in Botswana. The USDOL-
funded Improving Labor Systems in Southern Africa program
will help address some of these concerns. Mission will
continue its outreach in support of an organized and capable
labor movement. END SUMMARY.

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ORGANIZED LABOR WEAK
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2. A May 18-19 conference hosted by the Botswana National
Productivity Center (BNPC) gathered workers, government
officials, private sector representatives, and NGO members
to consider the role of tripartite partners in increasing
productivity. A prominent theme of these deliberations was
the need for more effective representation of labor. Deputy
Commissioner of Labor Richard Mukuwa asserted that the
drastic disparity between the capacity of unions and that of
management undermined tripartite cooperation. Victor
Digwamaaje, a representative of the Botswana Federation of
Trade Unions (BFTU),primarily blamed the Government for
this, noting that until last year the law barred unions from
employing full-time officers. While admitting that unions
lack financial and human resources, he explained that they
are working with the BNPC on a five-year plan to
systematically address their weaknesses.

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LACK OF TRUST DIVIDES LABOR FROM MANAGEMENT AND GOVERNMENT
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3. Dr. Collie Monkge, Coordinator of Vision 2016, the
Government's development objectives for the fiftieth
anniversary of independence, cited concerns that the
Government has not created a level playing field, thereby
unfairly disadvantaging workers. The President of the
Association of Botswana Tertiary Lecturers pointed out that
the Government fails to enforce some labor laws, such as the
minimum wage law. Earlier in the week a fire at a
commercial warehouse claimed the life of one man, in part
because workers were locked into the building. The Deputy
Commissioner of Labor supinely observed that his Department
is not responsible for "security and safety measures of
companies." Mr. Digwaamaje of the BFTU complained that
instead of consulting unions on the formulation of labor-
related laws and policies, the Government informs unions of
decisions it has already finalized. As a result, workers
often perceive the Government to be biased in favor of
employers.


4. A representative of Debswana, the De Beers - Botswana
joint venture that operates Botswana's diamond mines -
explained that some companies' unwillingness to divulge
profit and wage information to unions reflects their lack of
confidence in them. Recent incidents such as the disclosure
by an employee of a company's confidential information and
the August 2004 diamond miners' strike that violated the
union's own constitution (reftel) have exacerbated this
trust deficit. Debswana recently dismissed the Chairman and
Secretary General of the Botswana Mine Workers Union,

SIPDIS
apparently in connection with this illegal strike. On May
21, the BFTU will present a petition to the Office of the
President protesting this action.


5. Although Government officials uniformly welcomed the
unionization of the public sector, they also voiced some
distrust of unions. Echoing recent criticism expressed by
Minister of Local Government Margaret Nasha, the Acting
Chair of the Local Enterprise Authority questioned the
propriety of union activists publicly acknowledging a
political affiliation. (Note: Opposition parties typically
find more support among organized workers than does the
ruling Botswana Democratic Party (BDP). End Note.) Not
surprisingly, similar concerns have not been expressed about
employers, some of whom are major financial backers of the
BDP. Elias Magosi, Coordinator of Public Service Reforms in
the Office of the President, went further to state that the
"highest levels" in the Government were not even familiar
with the concept of tripartite cooperation and insinuated
that senior-level political commitment to this principle was
lacking.

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SKEWED INCOME DISTRIBUTION LOWERS PRODUCTIVITY
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6. While most of the discussion focused on institutional
explanations for low productivity, Professor Mogalakwe of
the University of Botswana encouraged participants not to
overlook social factors. Skewed income distribution and the
resultant poverty, he argued, also undermine productivity
growth. Mogalakwe cited numbers generated by the
Government's Central Statistics Office indicating that only
20 percent of Botswana households earn 61 percent of the
country's income. According to his own calculations, he
added, it would take the lowest paid government employee 35
years to earn what the Permanent Secretary to the President
earns in just one year. This inequality impacts
productivity-related factors such as health and education as
well as undermines labor buy-in to productivity-enhancing
efforts.

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GOB FOCUSED ON GROWTH
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7. Officially opening the conference, Minister for
Presidential Affairs and Public Administration Phandu
Skelemani lamented the slow growth of productivity in
Botswana. He observed that increases in wages have not been
matched by greater productivity. This has limited the
competitiveness of Botswana's exports and impeded efforts to
attract foreign direct investment. While Skelemani
encouraged further unionization of the work force, he called
on unions to "come out of their cocoon" and help improve
productivity.

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COMMENT
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8. Historically, labor has supported the opposition parties
and large corporations have backed the BDP. A recent
meeting of the BDP in the Central District, which includes
the Orapa diamond mine, yielded the consensus that as
support for the opposition grows the ruling Party must
broaden its appeal to workers. This appeal is likely to
fall on deaf ears if the Government is not seen to intervene
in the BMWU leaders' dismissal.


9. As noted during the conference, the Improving Labor
Systems in Southern Africa program, funded by USDOL, will
help address some deficiencies in Botswana's labor sector.
Mission has made workers' rights a priority, as illustrated
by its nomination of an Assistant Commissioner of Labor to
participate in an International Visitor Leadership Program
on labor issues in August 2005 and developing labor-related
proposals for the Democracy and Human Rights Fund program.
Mission plans to continue its support for workers rights
through arranging voluntary visitor programs for labor
stakeholders and by hosting digital videoconferences on the
role of organized labor in enhancing economic growth.

HUGGINS