Massive Layoffs as Government Eliminates Overburdened Public Service: The Standard



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  • Reuters
  • Posted on: 05 January 2019 10:50:00 GMT +0300
President Emmerson Mnangagwa arrives for the official opening of the annual governing ZANU PF conference in Esigodini, near Bulawayo, Zimbabwe. [Photo: Reuters]

JOHANNESBURG – Zimbabwe's government has begun firing just over 3,000 workers from its youth ministry as it strives to keep its promise to reduce the burden of the civil service and settle the country's finances .

Public sector wages account for more than 90 percent of Zimbabwe's $ 4 billion (400 billion shillings) national budget – a situation deemed unsustainable by foreign lenders like the International Monetary Fund, with which Zimbabwe would eventually want to put in place an economic reform program.
In a statement, the Public Service Commission announced it would cut 3,365 youth officers from the Ministry of Youth, Sports, Arts and Leisure on Friday, in line with the plan announced in the November budget.
"Young officers will receive their money instead of accumulated days off and their money as notice," he said.

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President Emmerson Mnangagwa is under pressure to re-establish a ruined economy for nearly four decades under the reign of Robert Mugabe, who blocked efforts to reduce the salaries of the population before being eliminated by a coup d'etat. 39, military state at the end of 2017.
However, the Mnangagwa administration is grappling with a crippling dollar shortage and growing budget deficit, as well as the tarnished confidence of investors in a country formerly known as the breadbasket of Africa.
In October, the Zimbabwean government approved an economic stimulus package focused on the wage bill.
Reducing unnecessary spending will be essential to help the country settle more than $ 2 billion in arrears to creditors, a prerequisite for IMF badistance.

Related Topics

President Emmerson MnangagwaRobert Mugabe Government of Zimbabwe

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