By Staff Reporter
The Zimbabwe Congress of Trade Unions (ZCTU) has written to government seeking an urgent Tripartite Negotiation Forum (TNF) meeting to address the tail-spinning economic crisis which has eroded wages and investments.
The ZCTU is seeking an urgent review of salaries and wages while accusing government and business of negotiating in bad faith.
ZCTU secretary general, Japhet Moyo, said over-taxation has pushed workers deeper into poverty.
“We are being ripped off. Government is taking more than a third, and we are only left with little, yet prices are rising daily. Something must be done urgently. Looking at what has happened over the past three weeks where the currency has literally crashed, wages are being wiped out by taxes,” he said.
He added that tax brackets needed urgent review as even the least paid were now paying hefty taxes.
“All collective bargaining platforms have agreed to increase salaries. It means everyone, poorly paid as they are, are now in that bracket where they pay taxes. It is unfortunate that these (income tax) reviews have to be done when government announces their fiscal policies, and workers have to wait. It is an unfortunate situation where the poor have to pay taxes at the highest rates. We wrote to the Ministry of Public Service, Labour and Social Welfare this week requesting that we convene the TNF to look into the collapse of the currency,” he said.
According to Moyo, the ZCTU was of the firm belief that full dollarization was the panacea to the challenges faced by workers.