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NewsDay

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Cash-strapped council pays workers with stands

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CHINHOYI — The Municipality of Chinhoyi, which has been struggling to pay salaries and bonuses, has reportedly resolved to dole out medium-density residential stands to its estimated 330 workers in lieu of a once-off payment for outstanding salaries dating back to 2008.

CHINHOYI — The Municipality of Chinhoyi, which has been struggling to pay salaries and bonuses, has reportedly resolved to dole out medium-density residential stands to its estimated 330 workers in lieu of a once-off payment for outstanding salaries dating back to 2008.

Report by Own Correspondent

Workers’ committee chairman Stewart Kapfudza confirmed the development yesterday.

“The matter is still under discussion between the workers’ committee representatives and management, but council has indicated it would not be in a position to pay cash. Hence there is a likelihood they would pursue other means to pay us,” Kapfudza told NewsDay.

According to sources, council owes each employee at least $6 000 in unpaid wages and notches since the dollarisation of the economy in 2009. Notches are incremental loyalty pay rises awarded yearly.

Zimbabwe Urban and Rural Councils Workers’ Union national organising secretary Shepherd Danda recently confirmed the notches awarded by a Labour Court which instructed council to pay workers. If the deal sails through, this would be the second time council has dished out residential stands to workers instead of cash pay-outs owing to liquidity problems.

Last year, council which owed workers’ salary arrears backdating to 2009, allocated each employee a stand in Ruvimbo high-density surburb in lieu of cash.

Chinhoyi acting town clerk Webster Tembo could not be reached for comment on the matter yesterday.