Council losing millions

cases, with the amounts usually being lump sums which invariably affect the city’s monthly salary bills.
The city expects to collect US$178 million by December, but Clr Muleya said 55 percent of that amount would go towards employment costs.
“This position was occasioned by the payment of arbitral awards to some members of staff arising from labour disputes,” he said.
In the majority of instances, managers suspend or dismiss subordinates without sufficient justification and evidence of wrong doing.
The prescribed employment to service delivery cost is 30:70.
Clr Muleya said other local authorities faced a similar predicament.
He said since 2009, the city had made strides to reduce the employment costs and adhere to the prescribed ratios.
In 2009, employment costs stood at 96 percent of total revenue, while in 2010 they stood at 73 percent and in 2011 they were at 65 percent.
Clr Muleya said the 45 percent that was not chewed up in employment costs went towards capital projects.
Next year, the city intends to spend 40 percent of its total revenue of US$291 million on employment costs.