COMMENT - What uncorrupted union leader would call for the priviatisation of a company, which is certain to lead to joblosses at the company? Corruption.
Union leader urges govt to expedite NCZ privatisation
By Florence Bupe
Sun 31 Oct. 2010, 04:00 CAT
A trade unionist has called on the government to hasten the privatisation of Nitrogen Chemicals of Zambia (NCZ).
In an interview, National Union of Commercial and Industrial Workers (NUCIW) president Seth Paradza said the government should allow the E
gyptian company that has expressed interest in investing in the fertiliser manufacturing plant to go ahead if the plant has to survive.
Paradza charged that the government was dragging its feet on the privatisation process and warned that NCZ risked falling into deeper liabilities the longer it stayed under government hands.
“In our view, the Egyptian company has shown seriousness in investing in NCZ. We are disappointed that the Zambia Development Agency is saying they are still waiting for other proposals. There is really no need if the company that has expressed interest is viable,” he said.
Earlier this week, Egyptian Ambassador Salah El Sadek disclosed that a named Egyptian company who had come to assess the viability of NCZ was satisfied and willing to immediately take over the operations of the plant.
El Sadek said the company had already submitted a proposal to ZDA for the takeover of NCZ, but ZDA communications manager Margaret Chimanse said the agency is still receiving proposals from corporations interested in taking over NCZ.
And Paradza has disclosed that former NCZ workers are owed about K15 billion in retirement benefits for the period 2008 to date.
He said this figure is likely to go up if the privatisation process is not speeded up.
“In 2008, government came in to settle the K40 billion that was owed workers, but since 2008, about K15 billion has accumulated in unpaid benefits to former workers. There are also other statutory obligations that need to be taken care of,” said Paradza.
Labels: CORRUPTION, NCZ, NEOLIBERALISM, NUCIW, PRIVATISATION, SETH PARADZA, TRADE UNIONS
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NUCIW opposes proposal to amend mines, minerals Act
Written by Florence Bupe
Sunday, March 22, 2009 4:42:00 AM
THE National Union of Commercial and Industrial Workers (NUCIW) has criticised the Ministry of Mines’ proposal to amend the mines and minerals Act of 2008. But mines minister Maxwell Mwale said the Act has to be amended to
accommodate foreign investors in order to boost the mining industry.
NUCIW president Seth Paradza said the amendment of the Act would work against the empowerment of Zambians in the mining industry.
“If the amendment of the Act is allowed to go through, then it will defeat the whole purpose of empowering Zambians in the mining sector. We have a number of our members, for instance, who own shares in the Lafarge quarrying industry because of the empowerment facilitated by the Act which they (government) are now seeking to amend,” he said.
Paradza charged that the amendment of the Act to allow foreign investors to actively participate in the mining of industrial minerals was retrogressive to efforts to empower Zambian investors.
But Mwale said it was only prudent to amend the Act to boost operations in the industrial minerals sector.
“Under the mines and minerals Act of 2008, industrial minerals were left to be mined by Zambians. This was done with a view to encourage and empower Zambians,” Mwale said.
“However, the Act has to be amended to accommodate foreign investors. When we drew up the Act, we did not envisage there would be interest by foreign investors to mine, for example, sand.”
Mwale said it was necessary to make exceptions for operations such as the mining of cement as there was massive capital output.
Last week, the Ministry of Mines presented a proposal to Parliament to have the mines and minerals Act of 2008 amended.
And the parliamentary committee on Economics on Wednesday described as highly suspicious Zambia Development Agency (ZDA)’s support to have section seven of the mines and minerals Act of 2008 amended. This was after ZDA director general Andrew Chipwende, who appeared before the committee, said maintaining the clause would restrict foreign investors who wished to undertake major projects in the production of cement and phosphate fertiliser in Zambia.
Section seven of the mines and minerals Act of 2008 which the Ministry of Mines has proposed for amendment provides that a mining right for industrial minerals shall only be granted to a person who is a citizen of Zambia or a citizen-owned company. Industrial minerals include, among others, limestone and gypsum used in the production of cement and quicklime as well as phosphates used in the production of phosphate fertilisers.
Labels: CORRUPTION, FDI, MAXWELL MWALE, MINES AND MINERALS ACT, NEOLIBERALISM, NUCIW, SETH PARADZA
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COMMENT - Why can't the workers and managers get together, create a profitable business model for NCZ, and get funding on the basis of that model? NCZ could be worker owned. They should be manufacturing the nation's fertilizer, whose prices are at an all time high.
NCZ workers bemoan govt’s failure to keep plant running
Written by Florence Bupe
Saturday, March 07, 2009 10:17:34 AM
NITROGEN Chemicals of Zambia (NCZ) workers have criticised government’s failure to keep the manufacturing plant running while an equity partner is being sought.
In an interview, National Union of Commercial and Industrial Workers (NUCIW) branch president Seth Paradza said it was irresponsible for the government to stall operations at the plant through failure to release the required funds.
“Government should have let the company continue to run as they look for an equity partner. We needed only K5 billion to purchase additional raw materials to resume production, yet government has failed to avail these funds. Instead, they are talking of close to K40 billion to settle retirees’ and workers’ dues, which at the end of the day is very uneconomical.”
NCZ was shut down in November, 2007 due to lack of funds needed for recapitalisation and procurement of raw materials.
Paradza expressed disappointment over the government’s stance on the recapitalisation of the fertiliser manufacturing company.
He said the government was not committed to the revival of the company, adding that the country would continue to spend unnecessarily huge amounts of money on fertiliser imports for as long as the local plant was not revamped.
“Government’s pronouncements that NCZ is a strategic company will remain empty for as long as they are not accompanied by action,” he said.
Paradza disclosed that workers were owed two months’ salary arrears, and explained that the K8.5 billion that had been released would be channeled towards the payment of salaries for one month, as well as part payment of terminal benefits.
Labels: NCZ, NUCIW, SETH PARADZA
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