US dollar bonus brings cheer to civil servants
THE year 2021 is ending on a high note for Mr Joseph Nyemba.
After toiling for much of the year trying to make ends meet, he can finally toast to a rewarding ending after what has been a difficult year largely due to Covid-19.
Mr Nyemba, who is employed as a lecturer at Madziwa Teacher’s College under the Ministry of Higher and Tertiary Education, Innovation, Science and Technology Development, is one of the thousands of public sector workers who are smiling all the way to the bank to withdraw their annual bonuses which have come in United States dollars this year.
“I am happy because I managed to get my money in cash, which means it has better value,” he told The Sunday Mail last week.
“This year, the exchange rate has been volatile, meaning our salaries have been losing value at a very fast pace.
“I am happy that the Government has listened to our pleas and has decided to pay our bonuses in US dollars.”
Mr Nyemba said he can afford to give his family a Christmas like no other this year.
For Mrs Theresa Chipunza, a public school teacher who is married to an office clerk in the Ministry of Health and Child Care, the bonus represents a double dose of joy.
The bonus, for Mrs Chipunza, has brought much-needed relief ahead of the financially demanding festive season.
Last week, she along with her husband joined scores of other Government workers at the CABS First Street branch to withdraw their 13th cheques.
Mrs Chipunza said after splurging on Christmas goodies for her family, she hopes to have enough for the January lean season. For the first time in years, all her four young children will have brand new clothes for Christmas.
“This year, I am sparing no expense,” Mrs Chipunza said.
“My children deserve the best. After a year of working hard, I think we deserve a break where we can spend without regard for tomorrow.
“This year’s Christmas will be like no other in recent times.”
Civil servants are receiving cash bonuses of up to US$700 this year after President Mnangagwa directed Treasury to pay out public sector bonuses in hard currency.
Pay-outs are ranging from US$200 to US$700 for most workers, bringing respite to families.
With prices of most goods and services being denominated in US dollars, most workers have this year been forced to liquidate their salaries into the greenback from street money changers who charge punitive premiums.
“There is no need for me to buy US dollars from the street this month because I have withdrawn my bonus,” said Mrs Chipunza.
“I can just use my bonus to buy everything
I need without going through a middleman.”
Some unscrupulous banks initially attempted to force their clients to liquidate their bonuses into Zimbabwean dollars resulting in a major uproar.
The Government was quick to act, directing the banks to disburse the bonuses in hard currency.
Promise fulfilled
Public Service, Labour and Social Welfare Minister Professor Paul Mavima said the Government had fulfilled its promise.
“Many people were sceptical and had anticipated that the Government would not fulfil its promise,” said Prof Mavima.
“But we managed to fulfil that promise we had made to our workers.
“If our workers are happy then the Government is happy.
“I am told that they are quite happy because they managed to access their bonuses in hard currency, which means they managed to see some value in it.”
He said payment of the bonus in US dollars marks a turnaround in relations between the Government and its employees.
Prof Mavima said consultations with civil service representatives for another salary review were underway.
“Right now there are some negotiations which are in progress with the Government to see how we are going to review their salaries,” he said.
Zimbabwe Confederation of Public Sector Trade Union secretary-general Mr David Dzatsunga urged the Government to continue offering similar incentives.
“People are quite appreciative of the gesture by the Government. We have welcomed the move and are very happy. It is our expectation and I think it would be imperative for the Government to keep offering such incentives if it is to keep the civil servants happy.”
However, true to form, some crooked businesses responded to the bonuses by immediately increasing the prices of their products in US dollars. Confederation of Zimbabwe Retailers president Mr Denford Mutashu confirmed the increase.
“There was a very slight increase in US dollar prices,” said Mr Mutashu.
“However, the bulk of the foreign currency has been snapped up by illegal forex dealers who intercept customers before they enter a shop and offer an exchange rate way above the official rate.”
In previous years, civil service bonuses were an object of hope and prayer, as the Government workers were never sure when their 13th cheque would come. However, President Mnangagwa’s administration changed the script and has ensured that each year workers receive not only their salaries, but bonuses on time.