EDITORIAL

WALKING through the streets of Harare’s capital city yesterday, on a day that is internationally set aside to celebrate the working class and all labourers on this planet, scenes of open shops and people busy running around was evidence enough that in Zimbabwe this day has now been reduced to any other day.

This year’s International Labour Day theme: Sustainable Pension for all: The Role of Social Partners speaks volumes to the dire situation the masses of Zimbabwe have been exposed to.

The wages of those still in formal employment are now so paltry that it is a real wonder how they are managing to make it to work every day. And for the second time in a decade, their pensions are being gnawed into insignificance by inflation and governemnt recklessness.

Meanwhile, price hikes, job cuts and fuel scarcity are just some of the many challenges workers are grappling with day-in, day-out. This has effectively drained all the joy that Workers’ Day used to bring.

Many companies, if not all, are struggling to pay wages, let alone a cost of living adjustment to those measly wages. The Zimbabwe Congress of Trade Unions president Peter Mutasa summed it all when he said the future was simply bleak for the Zimbabwean worker.

We were all very hopeful when the Second Republic swept away what we all thought was the reason of our misery: Robert Mugabe and his repressive regime. But, alas, it appears we were happy too soon as we are being told to be a little more patient. But patience for any man or woman nursing an empty stomach can be a major challenge.

It is our considered view that those holding the reins must remain alive to the fact that a restless labour (both public and private) force is the last thing any economy needs.

It is important that issues to do with labour are quickly handled as workers are the backbone of any nation. A weakened labour force is a serious indictment on all recovery efforts any country may undertake.

Our government should remember the country’s labour force and work hard to cater for its needs, if it hopes to achieve meaningful progress in the establishment of a strong Second Republic.

We were gratified to hear that the Tripartite Negotiating Forum (TNF) might be revived. This was one of the many avenues that could solve some of the challenges government is struggling to solve, so the earlier the three parties to TNF — government, employers and labour — sit down around a table and discuss pertinent socio-economic issues, the better it will be for our economy.

While intentions are very good, actions speak louder. Labour is waiting, albeit restlessly.

By Garikai Mafirakureva

MOURNERS attending the funeral of a four-year-old in Chiredzi were left stranded when Chiredzi Town Council employees disconnected water at the house, forcing mourners to resort to using water from unprotected water sources and exposing them to waterborne diseases.

The funeral was being held at one of the 36 single quarters with 12 rooms each, which house over 100 families, including the visually-impaired and people living with disabilities that were given temporary shelter there by the council.

Ward 4 councillor Liberty Macharaga said council employees made a grave mistake when they disconnected water on Sunday.

“I don’t think a voted councillor with people at heart like me or any mere councillor will advocate or even pass a resolution to disconnect water where there is a funeral. Council
workers with low understanding of issues were doing their job, but at times, common sense must prevail,” he said.

“Knowing very well that there was a funeral, they should have spared the house. I should admit that as council, we erred and the blame falls squarely at our feet. I, however, don’t
think it is a big issue now because as soon as I heard the problem, we got it sorted out.”

Chiredzi town secretary Charles Muchatukwa could not be reached for comment as his mobile phone went unanswered.

A committee member of Chiredzi members living with disabilities, Malvern Magodora, said they were disappointed by council’s action.

“As an association, we are bitter with what council has done. People have nowhere to fetch water because the borehole in this ward is broken down. Right now, where do you think people
will wash their hands? This is so inhumane. How can someone disconnect water at a funeral?” he charged.

“We are not surprised with this behaviour because we tried to engage council on several occasions, but to no avail. We were asking them to construct ramps for some of our members, but
they have given us a deaf ear. It is sad that those on wheelchairs are forced to leave them at the door and crawl on all fours into public toilets at the quarters.”

Water supply at the house was only restored after the funeral following the intervention of the United Chiredzi Residents and Ratepayers Association.

Chiredzi Town Council vice-chairperson Ropafadzo Makumire confirmed the incident, but quickly said water was immediately connected when the problem was brought to his attention.

“I admit that council employees made a very big blunder when they disconnected water at a funeral, but the situation was rectified as soon as it was brought to my attention,” he
said.

“As council, we are disconnecting water around Chiredzi, particularly those who did not heed the amnesty. We are disconnecting water in the protected areas, especially in high-density
areas for those owing us over ZWL$100, while in the low-density areas, we are disconnecting water to those owing us over ZWL$250.”

Meanwhile, Chiredzi Town Council is failing to service a ZWL$1,3 million debt it owes Tongaat Hulett for water supplied.

By Stephen Chadenga

GWERU City Council has said residents should prepare for a supplementary budget next month, as the current plan approved by government in February has been eroded by currency distortions and inflation.

Acting finance director Owen Masimba said the $46 million 2019 budget, which has since been passed, is now underfunded by 67% after government departed from its stance that the bond note was trading at par with the United States dollar.

“It will be recalled that government has departed from its long standing position that the exchange rate between the US dollar and the bond note/RTGS [real time gross settlement] is
one is to one,” Masimba said on Monday during the first quarter budget review meeting.

“The volatility of the of the exchange rate now at ZWL$3 to US$1 (on the formal market) means that council will be forking out three times more than budgeted. The effect is that council’s budget is now underfunded by 200% as at the current exchange rate of ZWL$3 to US$1.”

Masimba said given the prevailing economic environment, the local authority was left with two options, to increase tariffs or go for a supplementary budget.

He, however, said council would wait for direction from government although it (government) had encouraged supplementary budgets as a stop-gap measure.

“If we do not do either of the two (increasing tariffs or supplementary budget) council will not be able to provide service delivery,” he said.

“If all the budget income could be availed today the city will be able to meet 33% of its planned expenditures for 2019. Is should also be noted if council is to preserve the budgeted nostro value of a total of $278 975 966 for both the $46 117 800 revenue and $93 370 183 capital expenditure budgets, respectively, it should effect a 200% tariff increase or conveniently rate the charges as enunciated by Statutory Instrument 33 of 2019.”

Recently, mayor Josiah Makombe said council was proposing increasing rates, which he said were no longer sustainable, but residents associations vowed to resist the move.

BY NUNURAI JENA

Chinhoyi Provincial Hospital medical superintendent Collet Mawire has allayed fears among patients on antiretroviral therapy (ART) that they are being given expired drugs.

Following concerns by some patients that the tablets distributed had a June 2018 expiry date, Mawire said the Medicine Control Authority of Zimbabwe (MCAZ) tested the drugs and gave them another year.

“On the issue of ART tablets, we were given the go-ahead to distribute them following some tests after the expiry date. So it is above board, it is in order,” he said.

Provincial medical director Wensilus Nyamayaro said the procedure was that they should stop distributing either tablets or medicine on the day of expiry and send samples to MCAZ, which will advise whether to remove them from the shelf or to continue for a subscribed time. Some people on the ART programme had raised concerns about the tablets distributed last week which had a June 2018 expiry date.

Getrude Shoniwa, who realised this anomaly when already at home, said the trust one has on the drugs has been eroded.

“Yes, they might say the drugs are still working, but the mere fact that I know that the date is way past what is written might not augur well with some of us since healing, be it spiritual or medical, is based on trust,” Shoniwa said. Another patient who requested anonymity said it was better to take expired tablets that nothing at all.

By Farai Matiashe

Zimbabwe is targeting to attract tourists from the Middle East by participating in the Arabian Travel Market (ATM) Fair in the United Arab Emirates.

Zimbabwe Tourism Authority acting chief executive Rita Likukuma said participating at the ATM would help market Zimbabwe in the Middle East, which has some of the leading tourism operators in the world.

“The Arabian market gives us an opportunity to rebuild the confidence in destination Zimbabwe and establishing strategic partnership with leading tourism operators, promoting packages to southern Africa and the continent at large,” she said.

Dubai Tourism director general Helal Saeed Almarri said Zimbabwe can further enhance travel experience through the use of emerging technologies.

“The theme of the 26th edition highlights the role that technology and innovation are playing in revolutionising the travel landscape,” Almarri said.

“Dubai has already embraced a ‘digital, mobile and social first’ agenda, placing future readiness at its core and promoting the adoption of the disruptive technology to evolve its destination offering.”

Arabian Travel Market exhibition director Danielle Curtis said the travel show provides the platform for tourism players to engage while driving the development of sustainable tourism.

“The question remains, in a world of accelerating technology disruption, how can the hospitality industry continue to keep up with the rapidly evolving innovations surrounding it?

“In our effort to address this question, cutting-edge technology and innovation has been adopted as our spotlight theme for 2019 and will be integrated across all shows vertical and planned activities…identifying the top tourism trends that have the greatest growth potential is one of the most valuable insights ATM has to offer,” she said.

ZTA head of corporate affairs Godfrey Koti said: “It is our hope that we embrace the advent of technology. We have already started embarking on the journey of the digitisation of the tourism industry,” Koti said.

He added that the nation was slowly driving its strategic position towards technology because there were players who had done their best to align their strategic goals with technology adoption and encouraged those that have not started to begin to focus on such.

The ATM, which is the most established travel trade exhibition in the Middle East market, annually brings in more than 39 000 travel professionals from the region and the world source markets.

Statistics show that US$2,5 billion worth of business was generated at last year’s edition of the fair.

By Farai Matiashe/Silas Nkala

Zimbabwe Coalition on Debt and Development (Zimcodd) has called on government to facilitate the transition of workers and economic units from informal to formal, while respecting workers’ rights and ensuring opportunities for income security, livelihoods and entrepreneurship.

In a statement yesterday, Zimcodd said government should implement policies that ensure workers live descent lives.

“Zimcodd calls for an alternative pro-poor economic system that value workers, cognisant of the fact that workers create society’s wealth, but have no control over its production and distribution. Promote the creation, preservation and sustainability of enterprises and decent jobs in the formal economy and the coherence of macroeconomic, employment, social protection and other social policies,” the organisation said.

The coalition blamed government for worsening the economic situation in the country by introducing policies such as the Transitional Stabilisation Programme.

“It is worrying that this year, Workers’ Day is being commemorated in the midst of a deep socio-economic crisis, worsened by neo-liberal policies being implemented under the ‘austerity for prosperity’ mantra. This has caused untold suffering to workers due to continual rising cost of living, further eroding wages and salaries.

“Already, the first days of the implementation of austerity for prosperity (measures) has seen massive macro-economic recession manifesting through many tax heads being introduced targeting the citizens and the worker, skyrocketing prices of basic commodities, macroeconomic distortions and foreign exchange shortages,” the statement read.

Zimcodd said historical evidence, locally, regionally and internationally has proved that austerity measures were not a solution to the material conditions of the working class, but instead entrenches poverty and other forms of inequality.

The Zimbabwe Lawyers for Human Rights (ZLHR) expressed concern at the alarming and escalating disrespect for workers by both the government and the private sector in recent months.

“While the Constitution of Zimbabwe now guarantees labour rights, including the right to collective job action and collective bargaining, freedom to demonstrate and petition, it is saddening to note that Zimbabwean authorities such as the Zimbabwe Republic Police continue to disregard workers’ rights by arbitrarily suppressing their legitimate activities,” ZLHR said.

“In recent months, Zimbabwe’s disrespect for labour rights reached a new low when authorities used force to break up demonstrations called for by aggrieved workers, who were demanding an end to the economic crisis … and a reversal of the steep hike in fuel prices by government.”

The organisation said the police’s vicious reaction to the workers’ protest over genuine grievances afflicting their daily livelihoods was a blatant abuse of its power and is in violation of the Constitution and the International Labour Organisation standards, including the right to strike.

BY MISHMA CHAKANYUKA

Cigarette manufacturer, British American Tobacco (BAT) posted a 18% increase in after tax profit to US$31,4 million in the year ended December 31, 2018 from US$26,7 million in the previous year driven by an increase in sales of 16% and improved operational efficiencies.

The group’s revenue was up 16% to US$42,7 million from US$36,8 million in 2017 backed by strong sales performance and an improvement in the sales mix.

“The company’s Low Value for Money Brand, Ascot, grew by 171% driven by robust trade activation, with the Value for Money Segment (Madison and Everest) recording a 10% growth driven by Everest, which grew by 35%,” group chairman, Lovemore Manatsa said in a statement accompanying the financials.

Other income increased by 19% from US$2,5 million to US$2,94 million due to foreign exchange gains on liabilities.

The group’s administrative expenses fell 5% to US$6,95 million due to saving initiatives coupled with the benefits of restructuring activities implemented in previous years, which offset the impact of increasing inflation in the last quarter of the year.

Selling and marketing costs increased 3% to US$4,99 million from US$4,86 million in the prior year.

Cash generated from operations was US$17,1 million, a 22% increase from US$14 million generated in 2017 driven by an increase in profit offset by higher inventories and debtors.
The company’s total assets increased to US$51,44 million from a comparative US$37,9 million in 2017.

The company expects trading conditions to remain challenging as the country continues to strive for economic stability, but the group remains confident that its strategies remain appropriate and their brand portfolio is consumer relevant.

BAT’s major shareholders include BAT International Holdings (UK), Old Mutual Life Assurance Company Zimbabwe Limited, BAT Zimbabwe Tobacco Empowerment trust and BAT Zimbabwe Employee Share Ownership Trust.

BY BLESSED MHLANGA/MtHandazo Nyoni

A NEW wave of price increases has seen hard-pressed Zimbabweans grappling with counting the cost of dying.

Funeral insurance companies, hit by a failing local currency, have joined the bandwagon by increasing premiums by 100% effective next month.

In a notice to its policy holders, Nyaradzo Funeral Assurance Company said it had no choice, but to increase premiums so as to preserve value.

“In order to preserve the value of funeral policy benefits, kindly note with effect (from) June 1, funeral policy premiums shall be increased by 100%. We shall communicate the same to all policy holders through SMS before May 1,” part of the letter sent out to policy holders reads.

Hard-pressed workers face this new hurdle to giving their loved ones decent burial.

Government, despite warning business against price hikes which President Emmerson Mnangagwa has described as “inhuman, unethical and unpatriotic”, has failed to stem the wave of price hikes.

Zimbabwe Congress of Trade Unions (ZCTU) president Peter Mutasa said workers continue to be the easy escape route cushioning both government and business.

“Government and business look at the workers as their escape route. Now that business is falling on the sword of austerity and neo-liberal economics, they are cushioning themselves without increasing salaries. Government also just wakes up, increases taxes and forgets about the welfare of the workers, yet we have nowhere to turn to,” he said.

Meanwhile, the Association of Healthcare Funders of Zimbabwe (AHFoZ) says it has been approached by a number of service providers requesting for more tariff increases, barely three months after they were reviewed.

The increases range between 50% and 400%.

Recently, AHFoZ effected an upward review of 40% and 30% on fees payable by its members to medical professionals and private hospitals units, respectively.

In a statement, the association proposed that an urgent meeting of all concerned stakeholders be convened in order to find a workable solution so that patients continue accessing the required healthcare services.

“Medical aid societies have been receiving numerous complaints from their members and employer organisations over the increases in contributions (since) salaries are not going up,” reads the statement.

“At the moment, medical aid societies are still assessing the impact of these increases, as it is barely three months since their recent fees review. Judging from member feedback, another round of contribution increases so soon would be unaffordable for medical aid members, employer groups and health funders.”

AHFoZ said the prevailing economic conditions, characterised by liquidity challenges, among many other negatives, have not spared health funders either.

“The association would like to urge all medical aid members to carefully consider any alternative options that may be available with the assistance of their health funders, when faced with difficulties in accessing services,” it said.