Detergents; Edible oils sector approves 2 % across the board salary hike

By Own Correspondent

THE Detergents, Edible Oils and Fats sector has approved a 2% salary hike across the board in a move aimed at cushioning the workers from the cost of living.

The increment comes at a time when the newly launched ZWG currency has maintained a modicum of stability since its inception on April 5 2024.

However, most workers continue to face the challenge of poor salaries owing to the fact that wages have remained way below the cost of living for a prolonged period of time.   

In an effort to correct the anomaly, a Collective Bargaining Agreement has been reached between the Detergents, Edible Oils and Fats Workers Union and the Edible Oils Fats Employers’ Association effective January 1 2024 to December 2024.

The agreement should be read as one with Clause 6 (Grading and Wages) of the agreement published in SI 194 of 2018 in accordance with the provisions of the Labour Act.

“For the period October to December 2023 there is no increment. The minimum wages are hereby increased by 2% across the board as indicated in schedule below; Grade 1 US$306, Grade 2 US$319  Grade 3US$334 mid Grades 6 US$382,38 and the highest grades 11 and 12 US$502,70.

“Transport allowance has been increased by 2% from US$44 to US$44,88 per month. Housing allowance has been increased by 2% from US$60 to US$61,20 per month,” the CBA reads in part.

The US$/ZiG split has been adjusted from the current 45% US$55% ZiG to 50% US$ to 50% ZiG split. The 50%  ZiG portion shall be paid at the prevailing official exchange rate as at the date of payment.

The 50-50 principle shall apply to NEC Levies and Trade Union levies.

“While the agreement covers the period January to December 2024, parties agreed to negotiate again before 31 December 2024 should there be any fundamental changes in the prevailing economic conditions necessitating the need to negotiate,” the agreement added.

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