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WHAT EMPLOYERS NEED TO KNOW:

Tanzania’s labour laws have recently undergone significant updates with the enactment of the Labour Laws (Amendments) Act, No. 4 of 2025. These amendments, passed by the National Assembly on 31 January 2025, assented to by the President on 4 March 2025, and gazetted on 14 March 2025, introduce critical changes to the Employment and Labour Relations Act, the Labour Institutions Act, and the Non-Citizens (Employment Regulation) Act.

The amendments aim to strengthen labour standards, enhance workers' rights, and improve the efficiency of labour dispute resolution. For employers, understanding these changes is essential to ensure compliance and maintain smooth workplace operations. Below, we break down the key amendments:

Key Highlights of the Labour Laws (Amendments) Act, No. 4 of 2025

1. Amendments to Section 14 of the Employment and Labour Relations Act
   • The amendments to Section 14 clarify the conditions under which fixed-term contracts can be used. Specifically, fixed-term contracts are now applicable for:
     • Employees hired due to a temporary increase in workload (not exceeding 12 months).
     • Graduates employed for training or work experience (not exceeding 24 months).
     • Employees working on specific projects with defined durations.
     • Non-citizens with work permits for a defined duration.
     • Seasonal workers.
     • Employees in public works schemes or similar job creation programs.
     • Positions funded by external sources for a limited period.
     • Employees who have reached retirement age.
     • Employees whose employment depends on the employer securing tenders.
   • Additionally, the implementation of contracts for graduates under training must comply with prescribed standards and conditions.
2. Extended Maternity and Paternity Leave for Premature Births
   • Maternity Leave: Mothers of premature children are now entitled to extended leave until the child reaches 40 weeks of gestation (the typical full term of pregnancy).
   • Paternity Leave: Fathers of premature children will now receive 7 days of paternity leave, up from the previous 3 days.
3. Unpaid Emergency Leave ­
   • Employers may grant employees unpaid leave for up to 30 days, with the option to extend this period through mutual agreement.
4. Employer Interference in Labour Proceedings
   • Employers are prohibited from initiating or continuing disciplinary proceedings against an employee if a labour dispute is referred to the Commission or Labour Court for determination.
5. Emergency Operations Agreements
   • Employers and employees are now required to establish agreements to address workplace safety and operations during emergencies, such as infectious disease outbreaks.
6. Arbitration Updates
   • Arbitrators are mandated to issue awards for admitted claims, with compensation not exceeding 24 months of remuneration.
   • In cases of material breach of a fixed-term contract, employers may be ordered to pay compensation equal to the remuneration for the remaining term of the contract.
7. Compensation for Unfair Termination

Grounds for Termination                              Compensation (Months of Remuneration)

Unfair procedure                       :                      Minimum 6 months, Maximum 12 months

Unfair reason                            :                      Minimum 12 months, Maximum 18 months

Unfair procedure and reason    :                      Minimum 12 months, Maximum 20 months

Discrimination or harassment   :                      Minimum 12 months, Maximum 24 months

• The amendments provide a clear framework for compensation in cases of unfair termination, based on the procedure and/or reason for termination

How Exact Manpower Consulting Ltd can support your organization?

Navigating these amendments can be complex, but Exact Manpower Consulting Ltd is here to help. Our team of HR and Legal experts offers a range of services to ensure your organization remains compliant and well-prepared:

• Policy review and updates: We’ll assist you in reviewing and updating your employment policies to align with the new amendments.
• HR Training: Our tailored training sessions will equip your HR teams with the knowledge and tools to implement these changes effectively.
• Advisory Services: From handling all internal and external labour disputes to drafting relevant documentation, our experts are available to provide guidance and support.

For more information or to discuss how we can assist your organization, please contact us at info@exactmanpower.co.tz or call +255 677 975 251/ +255 715 800 430

Disclaimer

The information provided in this article is for general guidance only and does not constitute legal advice. For specific legal opinions or advice, please consult Exact Manpower Consulting Ltd directly.

Stay ahead of the curve with Exact Manpower Consulting Ltd as your trusted partner in navigating Tanzania’s evolving labour laws. Let us help you ensure compliance, protect your business, and foster a positive workplace environment.