Finance and Economic Development Minister, Professor Mthuli Ncube Tuesday told reporters during a post-Cabinet media briefing that the government was willing to ensure that part of workers’ salaries was in United States dollars.
His remarks come as workers have since 2019 periodically embarked on industrial action demanding USD-denominated salaries and better working conditions. They say their Zimbabwe-dollar-denominated salaries have been eroded by rising inflation.
NewsDay’s Privilege Gumbodete and Pride Mzarabani cite Ncube as saying:
I cannot comment on ongoing negotiations and details between civil servants and government as yet … As government, we are sensitive to the plight of all the civil servants and we will do whatever we can to make sure we can accommodate the demands, obviously within the budgetary constraints we face.
As you know, the government is offering US$175. So on that part, we have already shown we are willing to make sure that part of the salaries is in United States dollars, but as to the recent request from civil servants, all those things are under consideration, under discussion.
Civil servants recently rejected a 100 per cent government wage increase with effect from July 1.
Zimbabwe Confederation of Public Sector Trade Unions secretary-general David Dzatsunga said: “We want US$840.”
Meanwhile, economists have said it would be unwise for workers across all sectors to accept salary increments in the local currency given its continued devaluation due to inflation. They say the increment will worsen inflation.