By Matšeliso Phulane
The deputy secretary of National Clothing and Textile Allied Workers Union (NACTWU), Tšepang Makakole has urged the Lesotho National Development Corporation (LNDC) to ensure skills transfer to Basotho nationals working in the clothing and textile industry.
This emerged at a meeting between the ministry of trade and Industry, and trade union representatives in Maseru this week.
“We need to ensure that when the international factory owners leave the country, at least Basotho employees should have gained enough skills which will benefit them in future,” Makakole told the meeting.
Makakole said such an initiative would assist locals working at the clothing and textile firms to generate employment for themselves. He said currently employees at the clothing and textile factories know how to sew and reach the stipulated target while also bemoaning that locals earn far lower than the foreigners although performing same work.
He urged LNDC to seriously address an issue of the minimum wage while still attracting the investors. He lamented a low pay that is far from meeting the needs of the industry’s work force.
He said the highest salary that a clothing textile’s employee earns stands at M 2 500 while others earn less than that.
“As a result, they are unable to make savings, leading to the employees switching from one factory to another because of not being able to pay their financial loans,” he added.
He observed that investors were reluctant to put their money in Lesotho due to regular strikes that engulf the industry saying such occasions plunge the industry into instability.
“We also appeal for protected shelters safe for the employees during lunch breaks in order to avoid harsh weather conditions, an environment which he believed was detrimental to the workers’ health.
“LNDC should try not to focus on looking for investors from other countries instead of focusing on only two countries which are America and South Africa because of challenges including Russia and Ukraine so that in case any challenges happen there will be other alternatives,” Makakole said.
The meeting was intended to address issues arising within the industry while LNDC took an opportunity to lay bare challenges facing the sector including frequent retrenchments and the impact of Covid-19.
Thousands of workers lost their jobs in the industry as several firms closed shop in the recent years.
While addressing the challenges identified from textiles and apparel manufacturing industry, the general manager – investment and trade promotion, Puseletso Makhakhe said between May 2020 and 2022, there were 10, 056 job losses which were only recorded by the companies.
She added that they are expecting about 700 jobs to be opened and they are hoping to have more jobs from such companies.
“Lesotho has lost its investment climate advantage, the legislative environment has become inconsistent and non-consultative, very slow to respond to emerging challenges
“There is a decrease in orders because some factories’ orders are seasonal and as a result there is a gap in production.
“There is a lack of cohesive vision and collaboration amongst stakeholders such as government, labour, investors and the civil society. Stakeholders vilify each other while government vilifies investors and labour vilifies investors,” she said.
According to Makhakhe, there is a shortage of skills to fully domesticate the industry in addition to lack of knowledge and full understanding of the sector to be able to develop and reinvent it further. There are trade issues with the South African Revenue Service (SARS)holding Lesotho-bound orders’ containers for too long.
She warned that the corporation has not increased rental fees since 2020 to contribute towards reduction of production costs, introduction of incubation programme, sewing clinics and many others. She proposed collaboration with associations/IPA in South Africa for relocation of investors to Lesotho.
“LNDC has also proposed collaboration with associations or Investment Promotions Agencies in Ethiopia for relocation of investors who were supplying AGOA. Ethiopia has been disqualified under AGOA.
“Diversification of products and markets should be done in order to reduce reliance on AGOA market on textile and garments sector,” Makhakhe said.
