Categories: Stories

Transport Minister says Air Zimbabwe’s accounts were last audited in 2009, debt now at $323 million

Mr. Speaker, I can tell Hon. Members that when I gave the instruction to restructure Air Zimbabwe’s management structure, I had discovered that small as it is, with only about five aeroplanes, there were 28 Directors including the Acting CEO.  That is not commensurate with the size of Air Zimbabwe.  That is why we had to come up with a restructuring exercise because when you look at it, one plane is supposed to be supported by about 85 members.  This would mean that Air Zimbabwe, with five aeroplanes should have only 400 employees but they were around 800.  Of those, most of them were at managerial level.  If you have 28 Directors and a CEO, you can see what that means.  So, I want to thank the Committee because their observations were correct.

2.4    Remedies to Air Zimbabwe Wage Bill and Labour Disputes

Mr. Speaker Sir, as highlighted earlier, the number of managers is being right-sized and this will have a positive impact on the wage bill.  The board has been given a mandate to ensure that performance based contracts are in place and salaries are aligned to the Corporate Governance Framework.

The Ministry notes with concern that Air Zimbabwe is over – manned given its current operations and fleet size, hence the need to retrench excess personnel.  The retrenchment exercise that started in the year 2012, has been on-going though at a snail pace.  The exercise could not come to fruition due to limited resources.  Government is however pursuing various strategies to secure resources for the exercise.

3.  Air Zimbabwe Publicity and Public Relations

The Ministry has noted with concern the limited capacity in this department.  The board and management have been mandated to recruit competent personnel to run the section.

4.  Air Zimbabwe Fleet

The airline is operating old equipment compared to its competitors.  This has greatly increased its operating costs and compromised on service quality and reliability, thereby rendering the Airline uncompetitive.  Air Zimbabwe’s current aircraft fleet status:

Continued next page

(288 VIEWS)

Don't be shellfish... Please SHARE
Google
Twitter
Facebook
Linkedin
Email
Print

This post was last modified on February 10, 2017 11:44 am

Page: 1 2 3 4 5

Charles Rukuni

The Insider is a political and business bulletin about Zimbabwe, edited by Charles Rukuni. Founded in 1990, it was a printed 12-page subscription only newsletter until 2003 when Zimbabwe's hyper-inflation made it impossible to continue printing.

Recent Posts

Zimbabwe International Trade Fair plans to turn exhibition centre into commercial complex

The Zimbabwe International Trade Fair (ZITF) has announced an ambitious long-term plan to turn the…

April 25, 2024

ZiG falls against US dollar

Zimbabwe’s new currency today fell against the United States for the first time since its…

April 25, 2024

ZiG plays havoc on the Zimbabwe Stock Exchange

Zimbabwe’s new currency has wiped out a more than 330% gain on the stock market…

April 24, 2024

Jonathan Moyo tells Mushayavanhu to stick to monetary policy and leave money changers to the police

One bane of recent public discourse in Zimbabwe is not only that it is never…

April 23, 2024

ZiG kicks off third week on a stronger note

Zimbabwe’s new currency kicked off its third week on a stronger note raising questions as…

April 22, 2024

Zimbabwe asks US to tell its banks they can now deal with Harare

Zimbabwe Finance Minister Mthuli Ncube is asking the US government to tell banks that they…

April 20, 2024