LABOUR AND INDUSTRIAL

RELATIONS LAW
SESSION TEN
SOURCES OF LABOUR LAW IN ZAMBIA
 MAIN SOURCES OF LABOUR / INDUSTRIAL LAW IN ZAMBIA

• Individual Employment Law - The Employment Code Part III

• Division 3.1 Contract of employment:
• This part provides for the following:
• Prioritization of employment for citizens, Governing law of contract of
employment, Minimum contractual age, Medical examination, Record
of oral contract of employment, Types of contracts, Presumption as to
period of oral contract of employment, Presumption as to new
contract of employment, Contract of employment required to be in
writing, Contents of written contract of employment, Contract of
employment not binding on family of employee.
Other aspects of Part III

• It also includes Attestation of contracts, Duty of authorized officer

in attesting written contract of employment, Probation, Transfer
of contract of employment, Refusal to consent to transfer to other
employer, Security in certain contracts of employment, Contract
of employment outside the Republic, and Inducing person to
proceed abroad without a contract of employment.
Division 3.2 Minimum Employee Benefits

• This division deals with the following:

• Repatriation 34. Employer to provide transport on repatriation 35.
Paid Public Holidays 36. Annual leave 37. Annual leave benefits
formula 38. Sick leave and medical discharge 39. Compassionate
leave 40. Family responsibility leave 41. Maternity leave 42.
Fitness to resume work 43. Protection against dismissal connected
with maternity leave 44. Protection from harmful work 45. Nursing
breaks 46. Paternity leave 47. Mother’s day 48. Forced leave
 Division 3.3 - Suspension and Termination of
Contract of Employment

• Suspension of employee 50. Summary dismissal 51. Right to wages

on dismissal for lawful cause 52. Termination and expiration of
contract of employment 53. Notice for termination of contract of
employment 54. Severance pay 55. Termination by redundancy
56. Exemption from paying redundancy package 57. Re-
engagement of redundant employees. 58. Expiration by retirement
59. Certificate of service, testimonial or reference
 Social security legislation

• The concept of social security dates back to the time that men
organised themselves into communities and began to formulate
both written and unwritten rules obliging society to take care of
the vulnerable members of society.
• In Zambia, direct employer’s liability for workmen’s compensation
was introduced in 1930.
• The unfortunate thing about this development was that it was only
serving the white population.
Employment of Natives Ordinance

• The Africans were covered by the Employment of Natives

Ordinance. At independence, the government introduced free
health services as part of the social security. However, the
government was pressured to introduce a scheme which would
carter for the pensions of native Zambian nationals.
• A provident fund was recommended. Thus in in 1966, the Zambia
National Provident Fund was introduced as a compulsory
retirement scheme. In 1968, the Civil Service Pension Fund was
introduced for permanent and pensionable civil servant’s
retirement packages.
The National Pension Scheme Act (NPS Act) No. 40 of 1996.

Objectives of the National Pensions Scheme Act.

• To establish the National Pension Scheme
• To constitute the National Pension Scheme Authority
• To provide for matters connected with the above.
• The National Pensions Scheme is a body corporate with perpetual
succession and a common seal capable of suing and being sued in
its corporate name. the authority is mandated to implement and
control the National Pension Scheme.
Social security aimed at income or benefit

• Social security schemes seek to provide an income or benefit for

employees who have left gainful employment for several reasons. The
main reasons that would necessitate this include retirement,
accidents, diseases and death amongst others. implementation of
social security policy is through social security legislation.
• In Zambia, social security is primarily delivered under the provisions of
the National Pension Scheme Act No. 40 of 1996 and the Workers
Compensation Act, 1999. Private occupational schemes exist but these
are regulated under specific legislation which will not discuss under
this heading. As students, you are urged to research on this aspect.
ZNPF prior to NAPSA

• Prior to the establishment of NAPSA, there was the Zambian

National Provident Fund (ZNPF) which was formed in 1965 and
started operating in 1966. Its objectives were to establish a
pension scheme for the workers so that at the time of retirement,
they would be afforded some income in their old age.
• The scheme also provided for some income in the event of physical
or mental disability of an employee rendering him unable to
continue working. Additionally, the scheme provided some
provision of income for the family in the event of death of the
bread winner.
 ZNPF shortcomings

• ZNPF failed to live to its expectations as it failed to maintain the

value of members’ contributions resulting in very low benefits. It
was also burdened with very high administrative expenses and
government’s control of its investments. It is for these reasons
that the National Pensions Authority was formed in 1996. The
existing fund was transferred to NAPSA.
 NAPSA membership compulsory

• Membership to NAPSA is compulsory for all regularly employed

persons including those that contributed to ZNPF and those joining
the civil service and Local Authorities after 1 February 2000. Those
earning less than K15,000 per month, spouses of employers; family
members of employers who ordinarily reside with employers;
employees of international organisations who are not citizens in
Zambia; employees of foreign governments; members of the armed
forces; and public officers appointed before NAPSA came into being
and who were on pensionable employment under the Public Services
Pensions Fund or the Local Authorities Superannuation Fund.
 Registration by employer

• Subject to the provisions of the NAPSA Act, every employer shall

within one month, register under section 13 in the prescribed
manner. This is not necessary if the employer was already
registered under the ZNPF. An employer who ceases to be an
employer of any employee shall cease to be a contributing
employer in respect of such employee.
Both the employer and employee contribute
to the fund

• Both the employer and employee contribute to the fund at the

rate determined by the government from time to time. In 2015 the
employee was to pay 5% of gross earnings with a limit of up to
K796.20 per month. The employee is granted some tax relief for
contributions made to NAPSA or any other ZRA approved pension
scheme. The employer is required to contribute 5% of the
employees’ gross emoluments with a limit of up to K792.20 per
month. These figures are regularly adjusted every year.
 Four benefits paid under the Act

• Four benefits are payable under the act and these are retirement
pension, invalidity pension, survivor’s pension and funeral grant.
Members who contribute to the fund but do not meet the minimum
conditions for a pension are paid a lump sum.
• To be eligible to a pension a member must have contributed at least 180
monthly contributions. Such a member is said to be fully insured.
• In case of invalidity pension, a member must have contributed at least 60
monthly contributions but less than 180. Those who make between 12 and
60 monthly contributions are described as partially insured and are only
eligible for a lump sum payment. those who make less than 12 monthly
payments are uninsured and do not get any benefit under the Act.
Additional benefits

• For persons in the informal sector there are two additional

benefits.
• These are the Maternity benefit and the loan benefit for those
wanting to carry out SME business.
• Domestic servants are also now eligible to be members of NAPSA.
Retirement age

• With the 2016 amendment, employees can retire at age 55, 60 and
65 known as early, normal and late retirements.
• With the 2015 amendment, employees who were registered under
NAPSA prior to 2015 can retire at age 50, 55, 60 and 65.
• 50 is the early retirement, 55 and 60 are normal retirement and 65
is the late retirement.
Funeral grants

• A funeral grant is paid as an ex-gratia payment to survivors of the

deceased member to ease the funeral burden. To qualify for a
funeral grant, a member must have been receiving a retirement
pension or invalidity pension or for a member who was still in
employment, he should have made at least 12 monthly
contributions in the last thirty-six months of his employment.
• Failure to remit NAPSA contributions can result in a penalty. In
2014 a Chinese company in Chinsali district was fined a total of
K5,214 by the court for failing to remit to NAPSA K2,799 monthly
contributions of its workers.
Factories Act, Chapter 441

• The Factories Act sets out to achieve a number of objectives

which include making further and better provision for the
regulation of the conditions of employment in factories and other
places concerning safety, health and welfare of persons employed
therein. It also provides for the examination and inspection of
certain plants and machinery.
 Factories Act

• The doctrine of vicarious liability arising in civil law is an example of the

requirement by the Act to regulate employers in the provision of safety,
health and welfare for the employed persons in line with common law.
Other forms of regulation may be observed in ministerial directives that
regulate various types of workplace.
• The Factories Act covers many work places and it defines a factory as
any place where persons are employed in manual labour for making or
assembling articles, altering, repairing, ornamenting finishing, and
cleaning. For example, persons who work in a bottling plant to wash
bottles are also regarded as factory workers. The fact that a workplace
is not enclosed does not exclude it from the definition.
Administration and registration

• The Factories Act provides for the administration of the Act and
registration of factories by providing machinery for inspection and
registration of factories to ensure compliance with the provisions of the
Act.
• In order to ensure that employers comply with the requirements of the
Act the Act provides for the appointment of Inspectors to ensure the
proper administration of the Act. The inspectors have powers to enter
factory premises to examine processes and work flows, institute
inquiries, conduct medical examinations, and suspend operations of a
factory if it is found that the requirements of the Act are not being
complied with.
 Inspectors are privileged

• The Inspectors work in a privileged position and are under no

obligation to disclose the source of any complaint. They have a
duty of confidentiality imposed upon them by statute.
• All factories must be registered with the labour commissioner. The
application must be in writing and must contain such information
as may be prescribed. If the commissioner is satisfied that the
application complies with the provisions, he will issue a certificate
of registration. If not, he will refuse registration and state the
reasons for the refusal.
 Factory must be clean

• The Act makes it mandatory for any factory to be kept in a clean

condition free from any effluvia arising from any drain, sanitary
convenience or nuisance. There should be adequate ventilation
and no overcrowding should be allowed in the factory. No
employee should be allowed to operate machinery without
adequate training in its operation. There should be adequate
firefighting equipment and every factory must be equipped with
adequate fire escapes in case of fire. There have been cases
especially in confectionaries where owners lock up workers to
prevent theft.
 Accidents have to be prevented

• These have led to serious accidents which could have been

prevented. The Act does not condone this type of behaviour on the
part of the employers. The act also provides for the general
welfare of the workers e.g. drinking water, facilities for washing
including soap and change rooms. An occupier of a factory is
prohibited from deducting from the wages paid to his employees
for anything to be done or provided by him in pursuance of the
provisions of the factories Act.
 Punishment for contravening Act

• Contravention of all these provisions by the employer will render

him liable to a fine. The court has the power in addition to a fine
to order the occupier or owner of a factory to take steps to
remedy the matters in respect of which the contravention
occurred. The employer may however escape liability if he can
prove that he used all due diligence to enforce the execution of
the Act.
 The Workers’ Compensation Act, Chapter 271

• The Workers Compensation Act, 1999 provides for compensation of workers where these arise
from occupational accidents and diseases.
• The objectives of the Act are to revise the law relating to the compensation of workers for
disabilities suffered or diseases contracted during the course of employment;
• to provide for the merger of the functions of the Workers’ Compensation Fund Control Board
and the Pneumoconiosis Compensation Board;
• to provide for the Estate and Administration of a fund for the compensation of workers
disabled by accidents occurring, or diseases contracted in the course of employment; and
• to provide for the payment of compensation of dependants of workers who die as a result of
accidents or disease.
• It also provides for the payment of contributions to the Fund by employers, the appointment
and powers of a Workers’ Compensation Commissioner and the estate administration functions
of a Workers’ Compensation Fund Board and Tribunal
 Notice of accidents must be sent to
commissioner

• The commissioner appointed by the minister has the mandate to

receive notices of accidents and claims for compensation,
enquiring into or causing enquiry to be made, into accidents,
adjudicating upon all claims and other matters coming before him
for decisions and determining whether any person is a worker,
employer, principal or contractor for purposes of the act. He is
also responsible for paying compensation from the Fund under the
provision of the Act.
 Definition of worker is broad

• The term ‘worker’ has been given wide coverage under this act and is
defined in section 3 as any person who has entered into, or works under
a contract of service or of apprenticeship or learnership with an
employer, whether the contract is expressed or implied, is oral or in
writing and whether the remuneration is calculated by time or work
done or is in cash or kind.
• Part II provides for the application of the Act which establishes the civil
liability of the employer for injury suffered. The Act extends liability to
third parties other than the employer for injury by providing for
concurrent remedies. The Act also covers aspects relating to principals
and contractors and workers working outside Zambia.
 Compensation fund control board

• Part III establishes the Workers’ compensation Fund Control board and defines its
powers and functions, establishes the board, and provides for the appointment of
a commissioner. Medical Examinations, Certificates of Fitness and Report are
covered under Part IV which provides for the medical examinations as required
under the Act the certification and reporting arrangements.
• Part V of the Act provides for the right to compensation and mechanism for
payment of compensations. Part VI defines the liability for compensation and the
amount that can be paid including the mechanisms for various categories of
pensioners. Part VII provides for the procedure to be used in securing
compensation payments under the act. Provisions under Part VIII defines the
requirements under the act for accessing medical aid the manner of conveyance
of injured workers.
 Assessment of payment

• Part IX establishes the workers’ compensation fund and board and

how the funds under the act are to be applied whereas assessment
is under Part X which defines the requirements for assessment and
allocates responsibility for payment. The act also provides for
exemptions and how the assessments for domestic workers are to
be handled. Part X further establishes the Workers’ Compensation
Tribunal and defines its functions and powers and provides for its
proceedings and appeals under the Act.
 Workers' Compensation Tribunal

• Workers' Compensation Tribunal is under Part XI and Part XIII deals with
miscellaneous matters and broadly covers requirements for the
employer to supply particulars and to maintain records. It also provides
for the regulations of legal proceedings and penalties that may arise
under the Act.
• Members of the Defence Forces, Zambia Police Service, the Public
Service, casual employees and any outworker, that is to say, any person
to whom articles or materials are given out by the employer to be made
up, cleaned, washed, ornamented, finished or repaired or adapted for
sale on premises not under the control of the employer are all excepted
from the definition of the ‘worker’.
Worker entitled to compensation unless...

• A worker (or his dependants if the worker dies) who is disabled or dies
from an accident due to the work or arising out of and in the course of
his employment is entitled to compensation unless it is proved that the
accident was attributable to the serious and wilful misconduct of the
worker. However, the misconduct notwithstanding, the compensation
will be payable if the accident results in serious permanent disablement
or the workman has died in consequence of the accident leaving as his
dependant his widow or a child or any dependant wholly dependent on
him or in respect of his death if the worker dies more than twelve
months after the accident unless it is proved that the accident directly
caused the death or was the principal contributory cause of death.
Prohibition of termination of employment

• An employer is prohibited from terminating a worker’s contract of

service for suffering disablement in circumstances which entitle him
compensation under the Act. Until either the worker has been certified
by a medical practitioner to be fit to resume work for which he was
employed at the time of the accident; or compensation for permanent
disablement becomes payable to the worker under provisions of this act.
• Every employer is under an obligation to report to the commissioner any
accident within three days of the occurrence of the accident.
Additionally, every employer is under a duty to provide and maintain
prescribed appliances for rendering of first aid to his workers in case of
any accident to them.
The Occupational Health and Safety Act, No.
36 of 2010

• The Occupational Health and Safety Act, No. 36 of 2010 was

created to enhance the legal arrangements for the regulation of
health and safety at workplaces.
• You should remember that the Factories Act was primarily
designed to regulate workplace health and safety in factories only.
• The Occupational Health and Safety Act seek to regulate the
health and safety matters in all work places.
Objectives

• Objectives of the Act are:

• to establish the Occupational Health and Safety Institute and provide for its
functions; to provide for the establishment of health and safety committees
at workplaces and for the health, safety and welfare of persons at work;
• to provide for the duties of manufacturers, importers and suppliers of
articles, devices, items and substances for use at work;’ and
• to provide for the protection of persons, other than persons at work,
against risks to health or safety arising from, or in connection with, the
activities of persons at work;
• The Act applies to all places of work unless specifically excluded.
 Establishment of Occupational Health and
Safety Institute

• Part II of the Act establishes the Occupational Health and Safety

Institute, Board of the Institute and defines its functions. Part III,
creates an obligation on the part of all employers to set up
occupational Health and safety committees at places of work, and
defines their functions and administrative arrangements.
 Duties of various parties

• Part IV defines the duties of all the parties to the implementation of

health and safety at workplace that include employers, employees,
architects and others.
• Enforcement provisions which mean that powers are given to designated
officers to ensure the implementation of the provisions of the act is
provided for in Part V. Part VI provides for occupational health and safety
services and empowers the director under the Ministerial approval to
compel an employer to produce an occupational health and safety policy
and such other directives authorized under the Act.
• General provisions which include regulations, offences and penalties that
may be prescribed under the act are under Part VII
Collective Labour Legislation - Industrial and Labour Relations Act Chapter 269

• The industrial and Labour Relations Act regulates collective labour

relations including disputes that may occur in employment
relationships.
• The Act regulates the interplay of employment relations affecting
employees and employers and their representative bodies, and the
Government.
• The Objects of the Act are:
• - The formation of trade unions, employer’s representative
organizations.
Recognition and collective agreements

• - Recognition and collective agreements,

• - Settlement of collective disputes, strikes, lockouts,
• - Essential services and the Tri-partite Consultative Labour
Council,
• - The Industrial Relations Court,
 Trade Unions

• Part II: deals with Trade Unions (Sections 4 – 27)

• It enacts the protection of the freedom of assembly and
association, the right to belong to unions including the right to
dissociate, and to seek office and participate in activities of trade
unions. Part II further defines the meaning of management, and
creates the legal regime and procedures for formation of trade
unions.
Registration of employer associations, etc.

• Part III provides for the continuation of the Zambia Congress of

Trade Unions and procedures for the formation of federations of
trade unions and their relations with sponsoring trade unions.
• Part IV provides for the registration of employer associations and
related matters whereas Part V provides for the continuation of
the Zambia Federation of Employers, the registration of
federations of employer organizations, their relations with
sponsoring employers and related matters.
 Recognition agreements

• Part VI deals with the funds of representative bodies, objectives to

which funds should not be applied and their control. Part VII
regulates creation of recognition agreements, registration of
employers, the duty to enter into recognition agreements and
their essentials. Part VIII establishes the institution of collective
bargaining, bargaining units and their obligations, and the law
relating to the lodging of collective agreements.
 Mediation of collective disputes

• Part IX regulates the mediation of collective disputes through the

creation of machinery for conciliation, court adjudication, and
strike action procedures. Part X Establishes the Tripartite
Consultative Labour Council, regulation of its proceedings and
functions.
 Employment Of young Children And Young
Persons Part V of employment code

• Employment of Young Persons and Children is under part v of

the employment code.
• This part covers Interpretation 81. Prohibition of employment of
child in industrial undertakings 82. Prohibition of employment of
child in covered worksite 83. Prohibition of employment of child or
young person in worst form of labour 84. Prohibition of
employment of young person in industrial undertaking
Prohibition of young persons in night work

• Register of young persons in industrial undertaking 86. Prohibition

of employment of young person in night work 87. Powers of
authorized officer, police officer or immigration officer
 The Apprenticeship Act

• Some of the objectives of this act are to regulate the employment

of apprentices in various trades, provide for the registration,
transfer, modification and rescission of contracts of
apprenticeship, provide for the appointment of inspectors and
specify their powers. It also provides for the making of
regulations.
 Permission of controller needed

• It is an offence to employ any minor who is eligible for service as

an apprentice in a designated trade without the written
permission of the controller of Apprentices unless a contract has
been entered into. A contract of apprenticeship may be suspended
by mutual agreement of the parties or by the controller at the
instance of either party if satisfied that it is expedient to do so.