Electronics sector gets 23 % salary increment

Electronics sector gets 23 % salary increment

BY JAMES MUTASA

An arbitrator Honourable Brighton Mudiwa recently awarded a salary increment of 23% with half of the amount payable in United States Dollars and the other half paid in Zimbabwean Dollars at the prevailing official rate to the National Union of Metal and Allied Industries in Zimbabwe’ Electronics and Communications sector. 

The 23 percent salary increment was awarded after NUMAIZ and the Employers Association failed to agree on the increment rate with the later advocating for an increase categorised as 5% in October, 5% in November and a further 5% in December 2023 across the board payable as 50% in USD and another 50% in ZWL while the former rooted for a flat increment of 78% payable as 100% in USD.

‘After careful and thorough analysis of both parties’ position papers filed of record and hearing evidence that was presented, the tribunal took note of the fact that there was dire need to strike a balance between two equally competing interests,’ reads part of Mudiwa’s arbitral award.

‘The tribunal is of a considered view that an increase of 23% on the minimum for the period under review will go a long way cushion the employees.

‘The tribunal would have endorsed the Employers Association’s proposal but a serious consideration has been made on the fact that whilst parallel market rates are illegal, most employees remains victims as they are left with no option but to pay for goods and services where prices are pegged using the uncontrolled parallel market rates. The part payment in ZWL will therefore pose a negative effect of eroding the salaries thereby calling for the immediate need for a slight salary adjustment.

‘In awarding the increase,’ went on Mudiwa, the tribunal is duty bound to maintain continuity in business operations and further avoids paralyzing business operations.

In the arbitral award Mudiwa further determines that those employers who had better trading advantage are still at liberty to pay more than the gazette blended system of 50% USD and 50% ZWL. The act is instructive and very clear like tropical sunlight as it provides that the employer is allowed to provide more favourable conditions of employment than those stipulated.

President of the National Union of Metal and allied Industries, NUMAIZ, Anthony Nyashanu bemoaned the time which the arbitral process took to resolve the matter.

‘We are grateful with the award which gave us a 23% salary increment, 5% offered by the employers was an insult and as such hard to accept,’ he said.

‘The major demerit of this legal process is the time it took to resolve the issue. We received the award in January long after the period in question had lapsed. In this regard we call upon our employers to negotiate in good faith so as to avoid such inconveniences,’ ended Nyashanu.

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