TPA clears workers to join DP World as port management changes
Tanzania Ports Authority (TPA) director general Plasduce Mbossa during an interview with Mwananchi assistant news editor Ibrahim Yamola in Dar es Salaam. PHOTO | FILE
What you need to know:
- Mbossa reassured employees that no one will be laid off, adding that approximately 70 employees have already expressed interest in joining DP World.
Dar es Salaam. The Tanzania Ports Authority (TPA) has permitted some of its personnel to join DP World or remain in place as the Dubai logistics company takes over operations in specific areas following the deal.
In October of last year, Dubai logistics giant DP World signed three contracts with the Tanzanian government to manage births zero through seven at the Dar es Salaam port for 30 years.
The contracts provide DP World exclusive administration of four of the city ports' 12 moorings, as well as four more in cooperation with the TPA.
“Following the changes in management and operations at the mentioned berths, employees at the Port of Dar es Salaam have been asked to either remain with TPA or terminate their contract and join DP World at the same location,” TPA said in a statement issued to clarify the uncertainty that emerged after alerting the workers.
“Those who are willing to join DP World must submit their notice to TPA by March 29, 2024. Meanwhile, those who do not wish to join DP World should stay with TPA, as it requires personnel for ongoing port improvements throughout the country,” the statement added.
TPA director general Plasduce Mbossa said nobody will be retrenched in the ongoing process and that some 70 people have already come forward to join DP World.
“I would like to assure TPA employees that nobody will lose their job, and we are handling the matter very carefully,” he said.
He added: “If all TPA workers decide to join DP World, that’s also fine with us and they will get all their rights. We will recruit others if that happens.”
The last year's signings followed an intergovernmental agreement inked between the Tanzanian and Dubai governments.
The agreement was ratified by parliament in June last year, sparking criticism from critics who said it poses a threat to Tanzanian sovereignty and security, as the government argued it will improve efficiency, cut costs and increase revenues from the ports.
Speaking during the signing ceremony, DP World CEO Sultan Ahmed bin Sulayem said the move will allow the company "to upgrade Dar es Salaam port into a world-class facility, building even a greater logistics hub for Tanzania."
The Dubai government-controlled firm also pledged to invest $250 million over the next five years in the port, which is one of the biggest on the African continent.
