NAFAU, Hungry Lion resolve wage dispute
The Namibia Food and Allied Workers Union (NAFAU) has announced the successful resolution of a wage dispute with Hungry Lion following months of negotiations that began in 2025.
According to Absalom Willem, Deputy Secretary General of NAFAU, the dispute of interest was referred to the Office of the Labour Commissioner in November 2025 after wage negotiations between the union and the company reached a deadlock.
NAFAU, the recognised bargaining agent representing Hungry Lion employees, began negotiations with management in June 2025, but the parties were unable to reach an agreement on wages and employment conditions. A conciliation meeting was held on 22 January 2026 at the Office of the Labour Commissioner. When the parties still failed to reach an agreement, the conciliator issued a certificate of unresolved dispute.
However, two days before the planned commencement of industrial action, both parties returned to the negotiating table. After further discussions, the union and the company reached a settlement and signed a Memorandum of Agreement in Windhoek.
The agreement covers a two-year period and includes several benefits for employees.
For Year One, effective from 1 July 2025 to 30 June 2026, employees within the bargaining unit will receive a salary increase of N$375 across the board. The increase will be backdated from 1 July 2025 to 28 February 2026.
In addition, the transport allowance will increase to N$624 per month, in line with taxi rates set by the Namibia Bus and Taxi Association (NABTA). This adjustment took effect on 1 March 2026.
The agreement also stipulates that all temporary and fixed-term employees who have completed one year of service will be appointed to full-time permanent positions from the date the agreement was signed.
For Year Two, effective 1 July 2026 to 30 June 2027, employees will receive a further N$400 salary increase. Of this amount, N$200 will be allocated as a housing allowance, marking the introduction of a housing benefit that previously did not exist.
In total, employees will receive an increase of N$775 over the two-year agreement period.
Despite the challenging negotiations, both parties reaffirmed their commitment to maintaining a constructive working relationship as social partners in the interest of both the company and its workers.
Hungry Lion manager Winston Cupido said he looks forward to continued cooperation with NAFAU in the future. Shop stewards representing Hungry Lion employees also welcomed the agreement. While noting that the final amount was not exactly what had initially been requested, they said they were pleased to see progress and were satisfied that both sides managed to meet halfway. - [email protected]
