Zambia Green Jobs Programme

Zambian Labour Law: The key to improving business performance

The International Labour Organization (ILO) and its partners have launched an important campaign to ensure business growth and sustainable economic development by promoting the creation of decent work in the booming Zambian construction sector.

4 June 2015

It is true that labour laws and regulations have obvious direct cost implications for MSMEs through, for instance, the imposition of minimum wages; allowances; severance pay; social security and implementing occupational health and safety measures. Equally, however, compliance with labour laws can enhance the growth prospects of businesses by contributing to improved working conditions for workers, which in turn can contribute to increased productivity and ultimately improved competitiveness of the enterprise. Facilitating good working conditions through labour law compliance, therefore, is an investment in a more productive workforce that will directly impact the performance of the business.mbia’s building construction market system was conducted to investigate the growth opportunities for micro-small and medium enterprises (MSMEs). Findings demonstrate that there is a strong connection between complying with Zambian labour law and business growth.

To make sure labour laws are understood as one of the most important tenets of the business enabling environment, ILO through the Law-Growth Nexus II (LGN II) Project is working closely with key developing partners: the Ministry of Labour and Social Security (MLSS); the National Council for Construction; the employers’ and workers’ organizations at national and construction sector level; and the Norwegian Agency for Development Cooperation to roll out a Labour Law Advocacy and Awareness Campaign.

The Campaign is currently reaching more than 200 construction MSME owners across the country. Members of the National Association for Medium- and Small- Scale Contractors (NAMSSC), the Zambia Association of Women in Construction (ZAWIC) and MLSS have been trained by the ILO to deliver the message of how complying with labour laws can improve the growth prospects of a business.

The Law-Growth Nexus II Project, with its specific focus on increasing the uptake of labour laws, is part of the Zambia Green Jobs Programme. The Zambia Green Jobs Programme is a joint UN programme involving Food and Agriculture Organisation (FAO), United Nations Conference on Trade and Development (UNCTAD), International Trade Centre (ITC), United Nations Environment Programme (UNEP) with ILO being the lead institution.