Tanzania Labour law highlights
Key items to be summarized on Labor Laws in Tanzania;
Fair treatment at work; Equal pay, Prohibition to discrimination
According to the Constitution of Tanzania, all persons are born equal and equal to the law. The Constitution also recognizes the right to work with equal income rights. All who work according to their ability are paid according to the standard and labor force. In addition, the Constitution recognizes the right to work and the right to a reasonable payment.
Labor Employment and Labor Relations Act 2004 also require every employer to ensure that the men and women he hired receive the same payment for the same work as the same.
Prohibition to Discrimination
Employment and Labor Relations Act, 2004 prohibits discrimination, direct or indirect discrimination against a worker in any employment policy on the grounds of race, nationality, birth, gender, pregnancy, marital status, or marital status. man’s, political orientation, disability or AIDS, age or living life. Section 7 (4) of the Employment and Labour Relations Act, 2004 prohibits discrimination against an employee in any employment policy or practice. It will not be regarded as prejudice where effective measures to support employment for a forgotten group or that have long been discriminated against in the labor market; such as favoring, allocating or choosing any person for this purpose, or employing employees in accordance with the Labor Employment Act 1999. Anyone who will break in these parts is wrong. If he is to be judged, such a person will be responsible for paying a fine of not less than five million Tanzania shillings.
Circumstances which may appear as discrimination but which the law allows
The following circumstances can appear as discrimination but under the law they have been described as not amounting to discrimination:
- Taking affirmative action consistent with promotion of equality or elimination of discrimination in the workplace.
- To distinguish, exclude or prefer any person on the basis of an inherent requirement of a job.
- To employ citizens in accordance with the National Employment Promotion Services Act, 1999.
Actions taken to an employee who has been discriminated against.
If an employee feels and believes that he/she has been discriminated against:
- They can lodge a complaint at the Commission for Mediation and Arbitration (CMA) within 60 days of the alleged unfair discrimination taking place.
- If the CMA is not able to resolve the dispute through mediation, the matter can either be referred for arbitration or to the Labour Court for adjudication.
However, if a complaint is against a fellow employee, it can first be dealt with internally as a grievance.
Duties the law impose on employer in overseeing that there is no discrimination in the workplace.
The law requires an employer to promote equal opportunity in employment and strive to eliminate discrimination in any employment policy or practice. The employer is required to register a plan to promote equal opportunity and to eliminate discrimination with the Labour Commissioner.
Discrimination is prohibited during?
Discrimination is prohibited against both a job applicant during their shortlist and interview period, as well as to someone who is already employed. Shortlisting and interviewing panels need to do their best to make sure that their selection/non selection is not based on the grounds listed above.
Forced labour refers to bonded labour or any work exacted from a person under the threat of a penalty and to which that person has not consented. The law prohibits the procuring, demand and imposition of forced labour and any person who procures demands or imposes forced labour commits an offence. The penalty for someone who does these acts is fine not exceeding five million Tanzania Shillings, imprisonment for a term of one year or both fine and imprisonment.
The law prohibits employment of a child under the age of fourteen years. It further prohibits employment of a child under the age of eighteen years in a mine, factory, as a craw in a ship, or any other work site including non-formal settings and agriculture where work conditions may be considered hazardous by the Minister.
However, the law permits employment of a child of fourteen years in light work which is not likely to be harmful to the child’s health and development and does not prejudice the child’s attendance at school, vocational orientation or a training programme. The general welfare of the child must not be prejudiced.
It is an offence to employ a child contrary to the provision of the mentioned act and the sanction thereof is provided for under section 102 (2) of the act which empowers a District and Resident Magistrate’s Court to impose a penalty amounting to a fine not exceeding five million shillings, imprisonment for a term of one year or to both fine and imprisonment as the Court may deem fit, depending on the circumstance of the case.
Normal/Annual Leave in Tanzania
- Number of days: 6 days in any week
- Leave allowance.
- Compensation during leave: Shall be calculated at the rate of one day’s basic wage for every 13 days the employee worked or was entitled to work
Sick leave in Tanzania
- Duration. At least 126 days in any leave cycle.
- Procedure for getting sick leave. By producing a medical certificate.
Compensation during sick leave. Calculated as follows;
- The first 63 days shall be paid full wages
- The second 63 days shall be paid half wages
Maternity leave in Tanzania
An employee is entitled to 84 days paid Maternity Leave if she gives birth to a single child or 100 days paid Maternity Leave if the employee gives birth to more than one child.
Compensation during leave
An employee shall be entitled, within any leave cycle, to at least:
- 84 days’ paid maternity leave; or
- 100 days paid maternity leave if the employee gives birth to more than one child at the same time.
- An employee is entitled to an additional 84 days paid maternity leave within the leave cycle if the child dies within a year of birth.
Paternity leave in Tanzania
The duration of Paternity Leave is three days in a leave cycle which is thirty six months. The three days are the total number of days irrespective of the number of children that are born within the leave cycle.
According to the laws governing private sectors an employee can have up to four terms of Paternity Leave in the course of his employment with the same employer. Paternity Leave can be taken within seven days of the birth of the child.
Public Holidays in Tanzania
Official public holidays
Workers are entitled to paid Festival (public and religious) holidays. Festival holidays are announced by Tanzania Government (usually 17 in number). The public holidays are regulated under the Public Holidays Ordinance, 1966. These are:
- Jan 01-New Year Day
- Jan 12- Zanzibar Revolution Day
- *February 6 or 7
- March 29 -Maulid Day, Good Friday
- April 01 -Easter Monday
- April 07 – The Sheikh Abeid Amani Karume Day
- April 26 – Union celebrations
- May 1 – Workers Day
- July 07 – International Trade Fair
- August 08 – Peasants Day,
- * August 21 or 22 – Eid-el-Fitri
- October 14 – The Mwalimu Nyerere Day
- * October 28 or 29 – Idd-El-Hajj
- December 09 – Republic Day
- December 25 – Christmas Day
- December 26 – Boxing Day
*The Muslim festival holidays depend on the sighting of moon.
Holidays falling on Saturday or Sunday will be kept on those days. Act No.10 of 1994 has been repealed and holidays falling on Saturday or Sunday shall no longer be compensated.
Compensation on public holidays
The employee shall be paid double his basic wage for each hour worked on that day.
Working hours and overtime in Tanzania
The maximum number of hours an employee works is 45 hours in any week and nine hours in any day
An employee should not work more than 50 overtime hours in any four week cycle, Exempt in accordance with the agreement
Compensation for overtime
An employee to be paid not less than one and one half times the employee’s basic wage for any overtime worked
Training and skills development in Tanzania
Funding training and skills development
Minimum wage in Tanzania
- Salary per day – Daily rate is calculated on the basis of 9 working hours per day.
- Salary per week – Weekly rate is calculated on a basis of 45 hours a week or 6 working days per week.
- Salary after two weeks – Two weekly rates are calculated on 12-hour basis basis for work.
- Monthly Salary – Monthly Rate is calculated on a basis of 26 working days per month or 234 hours per month.
Other regulations on income in Tanzania
Skills and Development Levy (SDL): is a levy collected by TRA under the Vocational Education Training Act and Income Tax Act. SDL is charged based on the gross pay of all payments made by the employer to the employees employed by such employer in the particular time. It is important to understand that SDL is due and payable by an employer. The rate applicable for SDL is 4.5% of the total emoluments paid to all employees during the month. The employee includes permanent employees, part time employees, secondary employees, casual laborers etc.
PAYE AS YOU EARN (PAYE): It is a withholding tax on taxable incomes of employees. Under this system, an employer is required by law to deduct income tax from an employee’s taxable salary or wages.
Tax Bracket is as follows:
- 0-170,000 = 0%
- 170,000-360,000 = 9%
- 360,000- 540,000 = 20%
- 540,000- 720,000 = 25%
- Above 720,000 = 30%
Statutory Benefits in Tanzania
- Social Security/Pension
Harassment at the Work Place under Tanzania Law
Discrimination against a worker in any employment policy on the grounds of race, nationality, birth, gender, pregnancy, marital status, or marital status, political orientation, disability or AIDS, age or living life. Anyone who will break in these parts is wrong. If he is to be judged, such a person will be responsible for paying a fine of not less than five million Tanzania shillings
Sexual harassment at workplace is discriminatory and prohibited by law and is part of the Penalty Code. Convicted of doing so, shall be imprisoned for up to five years, or fine not exceeding two hundred shillings or all together, and may also be required to pay compensation to the victim as ordered by the court
Sexual acts that will be caused by words or actions by the person in authority in the workplace or any other place, will have committed the offense of sexual harassment. There is no charge for an offense under this section to be initiated or to continue if the complaint is made by the complainant at any time after sixty days since the incident occurred.
Lay off/Redundancy law highlights in Tanzania
- Notice of termination
Criteria for Layoff/Redundancy in Tanzania
Termination of employment is ending the employer-employee relationship between an employer and employee. Lawful termination of employment under common law includes:
- Termination of employment by agreement: When the employer and employee agree to bring a contract of employment to an end in accordance with an agreement. For example, if there is a contract for a period of one year and the agreed period expires then the contract will obviously come to an end.
- Automatic Termination: A contract of employment may be terminated automatically in circumstances such as death or loss of business of the employer.
- Resignation: This happens when an employee due to material breach of the contract by the employer decides to resign from her employment.
- Termination of employment by an employer: An employer may also terminate the employment of an employee but there is a need to comply with the provisions of the law and contract relating to termination.
Reasons for termination of contract may arise through;
An employer may also terminate an employee due to participation in an illegal strike.
Procedure for layoff redundancy/layoff Tanzania
the notification period depends on the employee’s service period as follows:
- 7 days for one month or less service;
- 4 days for a daily worker; with
- 28 days for a new job worker.
Terminal pay in Tanzania
- if the contract is for a specified term, the amount included in gains or profits shall not exceed the amount which would have been received in respect of the unexpired period of such contract and shall be deemed to have accrued evenly in such unexpired period;
- if the contract is for an unspecified term and provides for compensation on the termination thereof, such compensation shall be deemed to have accrued in the period immediately following such termination at a rate equal to the rate per annum of the gains or profits from such contract received immediately prior to such termination;
- if the contract is for an unspecified term and does not provide for compensation on the termination thereof, any compensation paid on the termination thereof shall be deemed to have accrued in the period immediately following such termination at a rate equal to the rate per annum of the gains or profits from such contract received immediately prior to such termination, but the amount so included in gains or profits shall not exceed the amount of three years’ remuneration at such rate.
Health and Safety
Health and Safety Law in Tanzania
Death and Disability Compensation in Tanzania
Spouse or someone leaving with the deceased as husband & wife (i.e. deemed spouse)
- Either twice the monthly pension of the deceased
- 40% of monthly pension to the deceased had he been 100% permanently disabled
- A child below 18 years (or above if unable to earn income) (20% of monthly pension to the deceased had he been 100% permanently disabled)
- A child in circumstances where the spouse or deemed spouse are absent ) (maximum benefit: 40% of monthly pension to the deceased had he been 100% permanently disabled)
A dependant in circumstances where the spouse or deemed spouse and child are absent). Maximum benefit is:
- Either 40% of monthly pension to the deceased had he been 100% permanently disabled & there was 100% dependence or
- A lump sum if there was partial dependence
Where an employee leaves two or more dependants (as opposed to only one dependant), then:
- Compensation payable to all shall not exceed the lump sum pension which would have been payable if the employee had left only one dependant
- The Director General may, if one of the dependants dies, allocate his pension to his children, if any, or, if there are no children, to the other remaining dependents