The Chronicle

BULAWAYO, Friday, February 12, 1993 — The Cold Storage Commission is to retrench hundreds of workers in the first of a salvage exercise aimed at improving the parastatal’s viability in the wake of sharply declining fortunes caused by what is considered to be a combination of inept management and the effects of the past year’s drought, it was learnt yesterday.

A part of the CSC’s salvage operation involves the abolition of the troubled but vital function represented by the livestock, ranches and cattle finance divisions which are presently placed on hold following the recent dismissal of managers, sources close to the CSC said.

According to the sources it is almost certain that the cattle finance scheme, which has been abused to the great embarrassment and detriment of the CSC, will be transferred to the Agricultural Finance Corporation, leaving a large number of workers jobless.

The ranches division also faces abolition as the CSC returns leased holding farms to their owners and transfers others to the Agricultural Development Authority.

The sources said the CSC management had already told workers’ representatives that nearly 1 000 employees will have to be retrenched to save the parastatal from a threatening collapse.

The move was said to have been announced to shocked workers’ committee members on February 4, when the management also put forward its proposals for retrenchment benefits.

It is understood that the management blamed the economic reforms and high cattle mortality figures for the retrenchment move. The sources said management proposed a graduated retrenchment package for employees with five or more years of continuous service, with no severance benefits for employees with less than five years.