Categories: Stories

Zimbabwe lays off more than 3 000 civil servants

Zimbabwe has begun laying off just over 3 000 workers from its youth ministry, as it tries to make good on its promise to cut the bloated civil service and sort out the country’s finances.

Public sector salaries account for more than 90 percent of Zimbabwe’s $4 billion national budget — a situation seen as unsustainable by foreign lenders like the International Monetary Fund, with which Zimbabwe would eventually like to secure an economic reform programme.

In a statement, the Public Service Commission said it would cut 3 365 youth officers from the Ministry of Youth, Sports, Arts and Recreation today, in line with a plan announced in November’s budget.

“The Youth officers will be paid their cash in lieu of accrued days leave and cash in lieu of notice,” it said.

President Emmerson Mnangagwa is under pressure to repair an economy shattered during nearly four decades of rule by Robert Mugabe, who had blocked efforts to cut public salaries before being removed in an army coup in late 2017.

However Mnangagwa’s administration is grappling with a crippling dollar shortage and growing budget deficit, as well as tarnished investor confidence in a country once known as Africa’s breadbasket.

In October, Zimbabwe’s cabinet approved an economic recovery programme taking aim at the wage bill.

Cutting unnecessary spending will be key to helping the country clear more than $2 billion in arrears to creditors — a precondition to IMF support.-TR

(183 VIEWS)

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

To go or not to go- Mnangagwa in a quandary

Zimbabwe President Emmerson Mnangagwa has repeatedly stated that he is not going to contest a…

November 25, 2024

ZiG loses steam, falls against US dollar for five consecutive days

The Zimbabwe Gold fell against the United States dollar for five consecutive days from Monday…

November 22, 2024

Indian think tank says Starlink is a wolf in sheep’s clothing

An Indian think tank has described Starlink, a satellite internet service provider which recently entered…

November 18, 2024

ZiG firms against US dollar for 10 days running but people still do not have confidence in the currency

Zimbabwe’s new currency, the Zimbabwe Gold (ZiG), firmed against the United States dollars for 10…

November 16, 2024

Zimbabwe among the top countries with the widest gap between the rich and poor

Zimbabwe is among the top 30 countries in the world with the widest gap between…

November 14, 2024

Can the ZiG sustain its rally against the US dollar?

Zimbabwe’s battered currency, the Zimbabwe Gold, which was under attack until the central bank devalued…

November 10, 2024