Chronicle (Zimbabwe)

Zisco still paying workers

- Oliver Kazunga Senior Business Reporter

THE defunct steel manufactur­ing firm, Zisco, is still paying over 1 700 former workers two months’ salary as per the July 2018 Labour Court ruling as the company seeks to offset employees’ outstandin­g salary arrears.

Public Service, Labour and Social Welfare Deputy Minister, Lovemore Matuke, said this in Parliament while responding to questions on Wednesday.

“The court made a judgment against the employer and it specified the terms and conditions of payment for the parties. In the judgment, the court highlighte­d that the employees were to be paid in each single month their net salary of two months in addition to their owed current salary per individual,” he said.

“Since the judgment was issued, Zisco has been complying with the terms and conditions stipulated by the court.”

The Deputy Minister could not clarify the source of the money to pay workers since the firm is not operationa­l.

The matter between Zisco and its former employees was resolved by the Labour Court in July last year. Deputy Minister Matuke said since the court handed down the judgment there has been no complaint of non-payment of owed monies registered either at the National Employment Council sector or his Ministry.

“Therefore, we presume the employer is complying with the order. If there is any breach, the employees can enforce the judgment,” he said.

e former workers, who have since been retrenched, were, however, yet to receive their retrenchme­nt packages.

“Whether they are going to be paid (retrenchme­nt packages) or not, it is a court decision,” said Matuke.

Formerly the largest integrated steel producer north of the Limpopo, Zisco ceased operations at the height of economic challenges in 2008 resulting in more than 5 000 people losing jobs.

Hopes for the revival of operations at the steel giant were revived in 2011 when an Indian steel conglomera­te, Essar Global, signed a $750 million deal with Government to resuscitat­e operations at Zisco.

The pact collapsed in 2015 due to a number of reasons, among them political bickering in the then inclusive Government. However, in 2017, Zimbabwe secured a $1 billion investment from R and F, a Chinese firm to resuscitat­e operations at the defunct Redcliff-based steel giant.

Industry and Commerce Minister Nqobizitha Ndlovu is on record as saying there has been significan­t progress made towards the resuscitat­ion of Zisco so far. — @okazunga. for the engineerin­g

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