EMPLOYMENT OF NON-CITIZENS IN TANZANIA. 03 rd MARCH 2016 DOUBLE TREE HOTEL, DAR ES SALAAM

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1 EMPLOYMENT OF NON-CITIZENS IN TANZANIA 03 rd MARCH 2016 DOUBLE TREE HOTEL, DAR ES SALAAM

2 What is on the agenda? q Non-Citizens(Employment) Regulation Act, 2015 and the regulations. q Background of the laws. q Applications and process of work permit under Non- Citizens (Employment) Regulation Act, q Types of work permits and fees

3 What is on the agenda?..." " q Types of residents permits and fees under the Immigration Act q New developments on the operation of the law q Challenges of the law q General discussion and way forward

4 NON-CITIZENS (EMPLOYMENT) REGULATION ACT, 2015 The Non-Citizen (Employment Regulation) Act, of 2015 was enacted by the Parliament of the URT on 18th March 2015, and assented to by the President of the United Republic of Tanzania on May 2015 Came into operation on 15 th September 2015 "

5 The Act regulates employment and engagement of non citizens in mainland Tanzania. Applicable only in mainland Tanzania

6 " q The Non-Citizen (Employment Regulation) Act, 2015 has repealed part VI of the National Employment Promotion Services Act No.9 of 1999 CAP 243[R.E. 2002] (employment of foreigners under NEPSA)

7 ! q Consequential amendments to other written laws namely the Education Act, the Export processing zones Act, the National Employment Promotion Services Act, the Immigration Act, the Special Economic Zones Act, the Tanzania Investment Act and the Refugees Act.

8 Purpose of the law q To have one stop center for work permit issue q Before this law, different laws gave powers to different Authorities to grant work permits e.g. Immigration Act no. 7 of 1995, Education Act, Tanzania Investment Act, Business and License Act, The Refugee, Act

9 q Lack of specific document called Work Permit this led to the use of Residence permit as a work permit.

10 q Labour Commissioner sect 5 ü Responsible for execution of the Act ü Advisory role to Minister ü Issues work permits ü Cancels work permits ü Acts as Registrar ü Supervises the Implementation of succession plan ü Processes work permits & exemptions

11 Succession Plan ( sect 5-7) Employers of non-citizens obliged to articulate plan as to how & when their non citizens positions will be assumed by Tanzanians Training to be availed to Tanzanians to prepare to assume such a role

12 Employers to file returns to the LC every June and December on number of foreigners they have in their organisations.

13 q Employed non citizens 24 months from date of issue May be renewed Total validity of first grant and renewals not to exceed 5 years (non-citizens employed will not be issued permits after 5 years of being in the country)

14 q Investors Permits 10 years may be extended if proved the investor investment is contributing to the economy and well being of Tanzanians (the provisions is not favourable to foreign investments into the country). "

15 Appeals: " Any person aggrieved with the decision of the Labour Commissioner on refusal to grant or cancel a work permit has the right to appeal to the Minister within 30 days.

16 Powers to Inspect Work Permit: " Labour Officers in collaboration with other Public Officers as the case may be, may enter and inspect any places of employment on matters related to work Permit. "

17 Application process Applicant could be issued work permit but denied residence permit ( for public interest) No guarantee of residence permit after issuance of work permit (Attached docs application forms, docs to be attached and payment details )

18 Application process The work permit is applied by filing an application form and attached documents to the LC. The process of work permit and residence permit are different. First work permit must be issued before applying for residence permit.

19 Categories of work permits sect 13 " q Class A Issued to foreign investor who's is a self employed and works in his own establishment q Class B Issued to a non-citizen who is in possession of prescribed profession. q Class C Issued to a non-citizen who is in possession of other profession. "

20 Categories of work permits sect 13 " q Class D q Class E " Issued to a non citizen who is employed or engaged in a registered religious and charitable activities. Issued to refugees

21 Class Category A B C Investor who is Self employed Person Non-Citizen in possession of prescribed professions " Non-Citizen in possession of other professions " Fee

22 Class " Category " " Fee" D E Non- Citizen employed or engaged in approved religious and charitable activities! Refugees! 500 Gratis

23 RECENT DEVELOPMENT!

24 Business Visa Business Visa to be issued to all foreigners coming to Tanzania not directly employed in Tanzania, Consultants, Meetings, Conferences, Workshops and anything of the like. This Visa can be issued at the entry point e.g. Airport, Tanzania Embassies abroad, Immigration Offices, Kurasini and Zanzibar at a fee of USD 250. "

25 Business Visa " The validity of this Business Visa is 90 days and cannot be extended in the country. No re-entry on Business visa "

26 Business Pass" All countries having no Visa arrangement with Tanzania, EAC and some of the SADC countries e.g. South Africa will pay USD 200. The validity of this Business Pass also is 90 days and cannot be extended in the country. ü However the fee is currently been reviewed for the EAC countries. ü This Pass is issued at the entry point. The government is reviewing rates for EAC member states.

27 Short Term Permit (STP)" The STP is issued by the Labour Commissioner with the validity of 6 months and not renewable within the country. It is issued to all foreigners directly employed in Tanzania for a short time and the fee is USD 500.

28 Work Permits" The normal work permits for two years is issued to foreigners employed in Tanzania and can be applied under either; Class A (Investors working for their own investment, USD 500) Class B (for Non-citizen in possession of prescribed professions Medical and Health)

29 Work Permits Care Professionals, Experts in Oil & Gas, Teachers and University Lectures in Science and the fee is USD 500) and Class C if for other professions which is USD 1,000"

30 Residents Permits The fees for residents permits have not been reviewed and therefore remain the same as per Class A, Class B and Class C.

31 Residence Permit Class A Residence Permit Class A may be granted to a person who intends to enter or remain in Tanzania and engage in trade, Business, Profession, Agriculture, Animal husbandry, prospecting of Minerals or manufacture. Fee USD 3050 (TIC)

32 Residence Permit Class 'B' Residence Permit Class 'B' is issued to a foreigner who has obtained specified employment in Tanzania, after being issued a work permit by the LC,( class B or C). Fee USD 2050 (TIC)

33 ATE s AGENDA

34 ATE s Agenda Work permit is in ATE s Business Agenda in the next 5 years. ATE is lobbying and advocating for improvement in the controversial Act e.g. the new Act of the non-citizens. ATE s is concerned with the high fees of work permits for the non-citizens.» To advocate the reduction of work permit fees or to wave out.

35 ATE s Agenda Due to challenges faced by employers in processing work permits:» ATE has introduced a service of processing work and residence permits for employers.

36 Overall The Immigration Act is being reviewed and the new regulations will be issued. Harmonization of fees of Work/residence permit is important to reduce the cost of doing business. The cost of doing business is high with multiple laws subjecting employers to multiple contributions, tax levies.

37 The abuse of CTAs lead to unfair labour compliance. ATE continues to advocate for friendly business laws to attract foreign investment

38 Discussion Share experiences Suggestions/way forward

39

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