adminVusumuzi Dube Municipal Reporter
TOP council officials are reportedly resisting the directive to have their salaries cut despite Government’s recent threat that they will be forced to pay back whatever is deemed to be above the stipulated salary structure. The latest revelations emerged last week when big wigs from one of the authorities — Hwange Local Board — filed papers in the Labour Court challenging salary cuts arguing that Government has no mandate in directing their salaries as they are not civil servants.
Acting in accordance to the Ministry of Local Government, Public Works and National Housing directive, the board had to reduce the salaries for top officials by as much as 56 percent, with the town secretary’s gross salary being slashed from $4 308,61 to $1 900.
In the papers filed on 3 September by their lawyers Calderwood, Bryce Hendrie and Partners, the claimants Ms Emma Chivaraidze (administration officer), Mr Mhlupheki Mlilo (administration officer), Mr Innocent Tshuma (town treasurer), Mr Philip Mguni (town engineer), Mr Abraham Phiri (housing and community services officer) and Mr Freetime Khupe (internal auditor) argue that there is nothing unlawful about their salaries.
Their salaries, the six argue, had been agreed upon with their employer, the Hwange Local Board, hence the council had no right to reduce their salaries and allowances without their consent.
They further note that even the Ministry of Local Government, Public Works and National Housing had stressed that the council had to “sit and negotiate with management on the issue of salary and allowances rationalisation”, rather than impose changes.
“Given that there was nothing unlawful in the salary and remuneration that had been agreed upon between the claimants and their employer, it is their belief that the employer would have no rights to reduce their salaries and allowances without their consent. This is precisely what has happened.
“A general perception arose at national level that the earnings of employees in local authorities were too high and that therefore there was a need to reduce them. Unfortunately the issues appear to have been tackled by way of a knee jerk reaction and with no regard to the law,” read the papers.
The employees further point out that the reduction of their salaries was done in violation of rules of natural justice.
“In this regard Respondent (Hwange Local Board) acted not only in violation of rules of natural justice and in particular the audi alteram partem (listen to the other side) rule but the Minister’s directive as well as it also required the council to negotiate with the employees.
“It is the claimants’ contention that any directive given by the minister cannot have retrospective effect and that there is nothing in the Urban Councils Act that suggest that it may apply retrospectively. At any rate there is no provision that would allow the minister to nullify existing rights and obligations to third parties.
“Furthermore respondent as the employer is not entitled to rely on a ministerial directive that is procedurally or substantively flawed or if it has been arrived at without observing rules of natural justice making it unlawful,” read the papers.
According to the Hwange Local Board’s confidential minutes attached to the employees’ papers, the local authority had initially reduced the executive’s wage bill from $19 657,14 to $12 172,39 but this was rejected by the ministry which insisted on the Government structure to be adhered to.
The new structure saw the authority’s town secretary Mr Ndumiso Mdlalose’s gross salary being reduced from $4 308,62 to $1 900, Mr Mlilo from $1 688,91 to $1 206,35; Ms Chivaraidze from $3 101,21 to $1 688,91; Mr Phiri from $3 101.21 to $1 688,91; Mr Tshuma from $3 022,45 to $1 688,91 while Mr Mguni’s salary was reduced from $2 962,45 to $1 688,91.
“The council chairman advised that the directive be taken as it is. Members concurred that council complies with the ministerial directive on salary rationalisation and that the proposed new salaries be adopted as they are,” read part of the council minutes.
Recently Permanent Secretary in the Ministry of Local Government, Public Works and National Housing, Engineer George Mlilo warned council executives who disregarded Government’s directive to cut their salaries that they will be forced to pay back the money. Eng Mlilo said councils should realise that the multi-currency regime meant salaries were supposed to be rationalised.
The intervention by Government came after revelations that some council bosses were earning as much as $27 000 a month in both salaries and allowances.
Online Reporter