The Reserve Bank of Zimbabwe has given Hwange Colliery a $7 million bailout to settle part of salary arrears, which now stretch over three years, a junior minister told Parliament.
The Deputy Minister of Public Service, Labour and Social Welfare, Tapiwa Matangaidze was responding to members of Parliament who were debating a motion on the Second Report of the Portfolio Committee on Public Service on the working conditions at Hwange Colliery, National Railways of Zimbabwe (NRZ) and Gwayi Refractories.
The debate lasted late on Tuesday, with MPs accusing government officials of running the firms into the ground through corruption and looting.
MPs accused management of the parastatals of treating workers like slaves, and ministers and government officials of turning a blind eye to the abuses.
Matangaidze said NRZ currently has outstanding salary arrears for over 16 months, while the coal miner owes workers over three years’ wages.
“Hwange Colliery has secured $7 million from the Reserve Bank of Zimbabwe and intends to pay employees 22 percent (of the owed amounts) in the first months (of this year) and then stagger the remainder,” he said.
Government holds 37 percent shareholding in the struggling coal miner.
Matangaidze was silent on a similar bailout for NRZ.
He said an inter-ministerial taskforce will follow up on the report and propose solutions to the crises at the parastatals.
(41 VIEWS)
The role of social media on how people get their news in Zimbabwe is being…
Ten African countries are amongst the biggest debtors to China, but Zimbabwe is not among…
The Reserve Bank of Zimbabwe’s Monetary Policy Committee, which met on Friday last week, says…
Zimbabwe’s new currency further weakened to 13.4407 to the United States dollar today down from…
The United States lost its place as the most influential global power in Africa last…
The Reserve Bank of Zimbabwe governor John Mushayavanhu says street money changers who cash in…