Terms of reference for consultancy services to conduct an explorative assessment for development of an advocacy paper for a minimum wage in mining sector
September 26, 2022
Rwanda Extractive Industry Workers Union (REWU)
P.O Box 2354 Kigali – Rwanda
www.rewu.org.rw
Tel. +250 788307153 ; Email : rewu.tradeunion@gmail.com
Summary
Purpose of the assignment To conduct an explorative assessment for development of an advocacy paper for a minimum wage in mining sector
Location Rwanda
Final report submission to: REWU & FES - Rwanda
Source of budget FES - Rwanda

Background
The International Labor Organization (ILO) recognizes that minimum wage can help to address issues of social justice, inequality, and poverty by providing workers the minimum fair wage that would contribute to their own sustainable livelihood and the wellbeing of their families. Many member states of ILO adopted or reviewed their minimum wage to align it with the living and economic conditions in their countries.
According to the ILO “minimum wage is an” amount of remuneration that an employer is required to pay wage earners for the work performed during a given period, which cannot be reduced by collective agreement or an individual contract”. Furthermore, ILO expresses that,” minimum wages help ensure a just and equitable share of the fruits of progress to all, and a minimum living wage to all who are employed and in need of such protection. Minimum wages can also be one element of a policy to overcome poverty and reduce inequality, including those between men and women.”
It's from that background that, worldwide, minimum wage is considered as an important strategy to enhance- social protection, and it has been at the heart of advocacy work of Trade unions towards improving the working conditions of their members and good public perception of labor movement.
In recent years, the Government of Rwanda has boosted private investment (foreign and domestic) as one of the strategies to achieve the NST1 and the Rwanda’s vision 2050 that would enable Rwanda to become a middle-income country. Mining has been one of the big sectors that contribute to Rwanda‘s export and GDP.
However, when there is no minimum wage, it is difficult to ensure that, an employee’s pay at least covers the basic needs such as food, health, education, clothing, and shelter, etc., which reflect the socio-economic transformation and sustainable livelihoods for citizens.
The minimum wage in Rwanda is 100 Rwf per day from 1974, and according to the labor law No.66/2018 of 30/08/2018, a ministerial order about a higher new minimum wage was supposed to be published by the Ministry of public service and labor (MIFOTRA). However, until now is has not yet been published. This has a negative impact on the working conditions of workers in the mining sector. Some employees do not get their remuneration, because they did not find minerals while they have spent their time and energy working for companies and others are paid insufficient remuneration comparatively to the cost of living. Hence, there is a lack of legal minimum wage framework to support or to guide the working condition and payment of employees in the mining sector. Many of those who work under such conditions to survive and are forced to work informally, while they are formal employees according to the Rwandan laws.
REWU has approached different mining employers and government institutions for advocating and showing the importance of having a mining wage in the mining sector, however, all those institutions requested an evidence-based document that would support discussions and negotiations. Out of this reason REWU is in need to conduct an explorative assessment on the minimum wage in the mining sector from which an advocacy paper will be developed to facilitate the negotiation process.

Similar Jobs in Rwanda
Learn more about Friedrich-Ebert-Stiftung
Friedrich-Ebert-Stiftung jobs in Rwanda


Introduction
Rwanda Extractive Industry Workers Union (REWU) is a Rwandan trade union that brings together workers from the mining and quarry industry. REWU started in 2014 with the vision of empowering workers and beneficiaries of mining fruits to improve the quality of their lives along with contributing to the attainment of social justice and sustainable development in an atmosphere of social democracy and solidarity.
REWU has been doing a lot of work to advocate for decent work and social protection in mining sector to improve the working condition and sustainable livelihood of workers and their families.
The Friedrich-Ebert-Stiftung (FES) is a non-profit Germany political foundation, created in 1925. The main objectives of FES are social democracy, good governance, peace and security, climate change and decent work for all to achieve economic transformation and sustainable development. Using different approaches such as capacity building, social dialogues and research for evidence-based advocacy, FES supports trade unions all around the world and in Rwanda to improve decent work and social protection.
FES has been supporting REWU to improve their technical and institutional capacity to play their role in the mining sector. It is from this perspective that REWU approached FES, as one of the key partners to support REWU to conduct a quick assessment about the current situation of minimum wage in mining sector for recommendations that would guide further actions.

The general objective of this assignment
The objective of this assignment is to conduct a quick assessment and to develop an advocacy paper with recommendations about minimum wage that would help REWU in advocacy, negotiation, and a collective bargaining agreement (CBA) on minimum wage in mining sector.

Specific objectives
1. To collect, analyze the cost of living in the scope of research as well as linking them with inflation rate in Rwanda targeting the mining sector.
2. Provide the current situation on what amount miners earn per production or daily/monthly basis payment and its impact on miners’ livelihood, their family as well as the community development
3. To provide the current situation on the employment contract and the modality of remuneration payment,
4. To provide the current situation of the miner’s contribution to RSSB, payee to RRA and they impact in the country economic growth as well as the contribution of mining sector.
5. To provide an advocacy paper with policy recommendations which will help REWU to start negotiations with relevant institutions (RMB, MIFOTRA) and the professional organization of employers in mining sector for a sectorial CBA which provides sectorial minimum wage based on the cost of living in the area of intervention.
It is recommended that all the information must be clear and are based on the current situation, compared to the past period and focusing on the future projection once we will have a CBA on minimum

The area of intervention:
The data shall be collected in 20 companies out of 350 licensed mining companies by taking consideration of 4 companies in each province, whereby 10 persons in each site will be interviewed. Plus desktop review

Key informants:
Mining company employers, Rwanda mining association, Rwanda Mining Board, Rwanda Social Security Board, RRA, mine workers, trade union representatives, community neighboring with mining sites, among others.

Approach and methodology
• The selected consultant will do a desk review of existing legal and regulatory documents and other documents related to the minimum wage in Rwanda, poverty rates in country, and particularly in the mining sector.
• The consultant shall use qualitative and quantitative methodologies, focus group discussions with REWU Representatives, interviews with workers, employers and other stakeholders specified in key informants.

Scope of Work:

Details would come in the inception report
The selected consultant must undertake the following activities:
1. To assess how the legal and regulatory frameworks in Rwanda promote the fixation of minimum wage as well as promoting social dialogue,
2. To collect data on mode of payment in mining illustrating number of workers paid cash in hands and those who get paid through their bank account
3. To undertake the legal and regulatory provisions related with workers remuneration, social security and its application on what?
4. To provide the data on daily salary of casual workers in mining and terms of payments on those who get paid based on their mines production and show how they survive when there is no production as well as situation of payment for permanent staff.
5. To provide best practices on the companies which pays daily salary of casual workers in mining sector whether they got minerals or not
6. To provide accurate data on the amount of PAYEE and Social security contribution’s paid in the area of intervention and show us what the government loses for non-contribution and payment of PAYEE and RSSB
7. To demonstrate the negative impact from not having minimum wage in mining sector (migration labor in mining sector, poverty, malnutrition, family conflict, divorces, etc…)
8. To provide the cost of living in area where mines are located.
9. The quick assessment should provide objective and comprehensive data on the degree to which workers are exposed to certain risks at work, as well as the attributes of the work organization and environment that allow them to mitigate these risks and achieve their work goals improving their social and economic welfare.
10. The assessment should provide information needed to analyze the gap between the income from production of mines in Rwanda with the salary paid to the workers in mining sector
11. Presentation of the draft report for review before drafting the advocacy paper
12. Prepare and deliver a comprehensive report detailing the used methodology, findings, and recommendations from the study.

Develop and provide advocacy paper
The selected consultant will provide the advocacy paper, which will contain:
1. Introduction
2. Statement on the minimum wage
3. Present and describe the problem of not having minimum wage in mining sector, who it affects and its impact
4. Provide facts, data about the problem of not having minimum wage
5. State the recommendations of the study done
6. Provide a proposal of minimum salary of casual and permanent workers in mining sector based on their professional categories and based on findings.

Expected deliverables
1. An inception report outlines the understanding of the work to be conducted with clear milestones, methodology and timeframe of deliverables
2. To provide a draft report outlining deliverables from the above scope of work including but not limited the information on data of daily salary of casual workers in mining and terms of payments on those who get paid based on their mines production and show how they survive when there is no production as well as situation of payment for permanent staff.
3. A final report and advocacy paper approved by REWU and FES with clear findings and recommendations

Requirement and qualification of the consultant
It is expected that the consultant should have:
• Master’s degree or BA degree with more than 7 years of experience in Economics, labor law relations, Mining Engineering, Geology, Business Administration, Organizational Development and/ or human management in mineral resources, Exploration social science and other field of education related to this assignment;
• Have a minimum of 5 years of proven experience in research related to labor law, workers ‘rights, social protection, and worked with trade unions or other local civil society organization basing on membership.
• Proven Experience in policy development and policy analysis related to workers’ rights and social protection
• Excellent command of English and outstanding written, knowledge of French will be an added advantage.
• Excellent analytical, interpersonal, communication and reporting skills.
• Good knowledge of the trade union in mining and quarries advocacy.
• Highly motivated and committed to professionalism, accountability, courage in action, integrity and team work;
• Proof of formerly performing a similar assignment is a requirement

Timeline
The consultant will do this work in 27 days.

Financial and technical proposal
• The expert candidates will submit a detailed technical and financial proposal outlining how they will conduct the proposed assignment, timeline and budget
• The expert will, through a financial proposal, propose the professional fees for the undertakings and a work plan.

Evaluation Criteria
Competence and Experience of the consultant in a similar assignment (/30 marks)
Qualification and Education of the consultant (/20 marks)
Financial proposal (/50 marks

Submission Procedure
The consultant will submit an expression of interest via online only to the following address of REWU at rewu.tradeunion@gmail.com ; and to FES – Rwanda at info@fes-rwanda.org and copy to anne.felmet@fes-rwanda.org and mutsindashyaka@yahoo.fr not later than 12th October 2022 at 11:59pm. Late submission will be rejected
The expression of interest should include the following:
• Updated Curriculum vitae
• Two references of similar works with certificate of good completion
• Technical and Financial proposal
For any further information needed, you shall contact us on the above addresses.