Zimbabwe’s Tripartite Negotiating Forum, which comprises the government, labour and business, has agreed on a minimum wage of at least US$150 which can be paid in local currency at the prevailing interbank rate.
The minimum wage will be subject to review in the first quarter of next year.
The government is already paying its workers above this rate so this is likely to apply more to the private sector.
The government also said it will continue to work on measures to stabilise the local currency and will consider tax cuts on wages and salaries to increase disposable incomes.
It will continue with the auction system but will settle all winning bids within two days of the auction.
The tripartite partners should also work towards conclusion of a social contract or pact to help promote the stabilisation of the economy.
“Social contract should be the tool for moderating increases in prices of goods and services as well as restrain increases in salaries and wages to counter inflationary measures,” Information Minister Monica Mutsvangwa said at a post-cabinet briefing yesterday.