This comes as the Government has said it will soon start
deliberations with stakeholders on when the next salary review for civil
servants will take effect. The National Salaries Survey, conducted by a local
company Stallone Consultancy, forecasts that better days lie ahead for workers,
as national policies such as the National Development Strategy (NDS1) will lead
to further salary increases.
According to the survey, remuneration will continue to
improve in 2021 if the current stability is maintained.
“The launch of the blueprint (NDS1) and its 14 national
priority areas have brought hope in the employment sector especially the price
stability that characterised the economy in the last quarter of 2020. Some of
the 14 national priority areas in the NDS1 have given hope for example Good
Governance, Social Protection, Human Capital Development. The Second Republic
has created hope and determination.”
According to the survey, most companies and workers’ unions
agreed on a minimum wage of around $18 000 which is only $2 000 shy of the
Poverty Datum Line with more salary increases expected across the board this
month.
Public Service, Labour and Social Welfare Minister
Professor Paul Mavima concurred with the survey’s findings, saying his office
had signed off a number of agreements between employers and NECs which were
“around or above the minimum wage.”
“This time around we have not reviewed the minimum wage as
the Government, we have left that to the employers and the unions to discuss.
And we have seen that it’s working because we are approving agreements which
are more or less above the poverty datum line. We have also done that in
Government where we have time and again reviewed the salaries of civil servants
to at least be above the poverty datum line.”
Professor Mavima also revealed that “very soon we will be
hearing from the Civil Service Commission to determine when next can we do a
salary review for civil servants.”
The survey warned against further increases in prices of
basic commodities. “It is unfortunate that as at beginning of Feb 2021, prices
had started to rise again, a situation of which if it persists will force
employees to bargain for higher earnings.”
According to the survey, despite the increase in
remuneration, 70 percent of employees are still earning below the Poverty Datum
Line.
“. . . the country has 51 operational NECs (National
Employment Councils) and as of January 2021 only six had pegged minimum wages
above the Poverty Datum Line pegged at about $18 860 using the international
index system,” reads the survey report.
“Consequently 70 percent of employees are earning below
poverty datum line with the Consumer Council of Zimbabwe family basket of six
was pegged at $20 895 a month for December 2020.”
The survey also showed that majority of remuneration was
still pegged in local currency, with only 21 percent of companies wholly paying
in forex, while 33 percent are partly paying foreign currency.
Non-Governmental Organisations (NGOs), mining, insurance
and export sectors were among the top-paying sectors.
Executive salaries range from U$4 500 – US$11 800 per month
all punctuated with a plethora of benefits which are about 150 percent of the
basic salary is some instances, according to the survey. Stallone Consultancy
managing director Dr Zack Murerwa said worryingly, the income gap between
general workers and company executives continues to grow.
“The salaries and benefits of top executives are way above
those of general workers. You look at the vehicles that the companies are
buying for top executives and you will realise that it’s a huge amount of money
going to a few people while the majority is barely above the poverty datum line
or the minimum wage.”
Employers Confederation of Zimbabwe executive director Mr
Israel Murefu said: “In our own situation what we believe is salaries must move
in tandem with inflation rates. What is key is the ability to pay particularly
with the Covid-19 pandemic that we face.” Sunday Mail
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