The President of the Mozambique Bar Association (Ordem dos Advogados de Moçambique) (OAM), Carlos Martins, argued on Thursday (June 4) for the need to strengthen the specialization of professionals involved in labor arbitration, stating that the consolidation of this dispute-resolution mechanism depends on the technical qualifications of arbitrators and a deeper understanding of the specific procedural aspects of the field.
Speaking at the 4th International Arbitration Conference, organized by the Commercial Arbitration Centre (CAC) under the theme “Labor Arbitration – Main Gains, Challenges and Prospects,” Carlos Martins said that labor arbitration is currently experiencing a promising phase of development in Mozambique, marked by the growing acceptance of arbitral decisions and the confidence demonstrated by the parties involved.
According to the Bar Association President, one of the most significant indicators of this progress is the low number of annulment appeals filed before labor courts since the system was introduced. While this does not necessarily mean that disputes between parties do not exist, it is a sign of confidence in the technical quality of arbitral decisions and the effectiveness of the dispute-resolution mechanisms.
Another aspect highlighted was the high rate of voluntary compliance with arbitral awards. Carlos Martins noted that, to date, there has been no significant demand for enforcement certificates to compel compliance, suggesting that both employers and employees have been voluntarily complying with decisions issued by arbitral tribunals.
“This is an encouraging sign of the system’s credibility and its ability to produce effective solutions for labor disputes,” he emphasized.
Despite these advances, Martins warned of several constraints that continue to limit the expansion of labor arbitration in Mozambique. Among them are the costs associated with arbitration proceedings, which may discourage workers with limited financial means and some employers from using the mechanism.
He also pointed out that the fees paid in certain labor arbitration cases do not always reflect the complexity of the matters under consideration, leading some professionals to decline appointments to arbitral tribunals.
Investment in Specialized Training
Carlos Martins argued that arbitration can provide a faster and more efficient response to labor disputes, but stressed that continuous investment in specialized training for arbitrators is essential.
He emphasized that labor arbitration requires not only a solid understanding of substantive labor law but also in-depth knowledge of arbitral procedure, arbitration principles, and international best practices.
“The challenge is both substantive and procedural. The quality of decisions depends on the technical preparation of those involved and their ability to apply arbitration instruments appropriately,” he observed.
The OAM President also called for a review of certain procedural formalities that, in less complex cases, may increase costs and prolong proceedings without adding real value to dispute resolution.
At the same time, he urged greater efforts to promote labor arbitration among workers, employers, trade unions, and business associations, arguing that there remains a high level of unfamiliarity with—and some resistance to—the use of this alternative dispute-resolution mechanism.
Carlos Martins maintained that arbitration can offer a faster and more efficient alternative to labor litigation, avoiding lengthy court proceedings that often take years before a final decision is reached.
The 4th International Arbitration Conference, organized by the Commercial Arbitration Centre, brought together judges, lawyers, arbitrators, academics, and business representatives to discuss the challenges and prospects of arbitration in Mozambique.
Carlos Martins was speaking during the panel “Labor Arbitration – Main Gains, Challenges and Prospects,” which gathered national and international judges, lawyers, arbitrators, and academics to debate the key challenges and opportunities for arbitration in Mozambique.
The panel also featured presentations by Ivan Maússe, university lecturer and researcher at the Public Integrity Center; Nelson Jeque, Judge-Counsellor of the Administrative Court; and Duarte Dhlalane, Director of Legal Services at the Commercial and Investment Bank (BCI). The session was moderated by Flávio Menete, former President of the Mozambique Bar Association and current President of the SADC Lawyers Association.
About Arbitration
Arbitration is an alternative method of resolving disputes outside the traditional court system. Instead of submitting a case to a state judge, the parties choose or agree to have it decided by one or more independent arbitrators with expertise in the relevant subject matter.
In labor matters, arbitration enables disputes between employees and employers to be resolved in a manner that is generally faster, more flexible, and less bureaucratic than proceedings before ordinary courts.
Arbitral awards have legal force and must be complied with by the parties, just like a court judgment. For this reason, arbitration has increasingly established itself as an important tool for ensuring the faster and more efficient resolution of labor disputes.
Text: Felisberto Ruco
