Chronicle Editor
Patrick Chitumba, Midlands Bureau Chief
GWERU City Council is collecting less than $10 million from an estimated $36 million it is supposed to collect from companies and residents per month and is blaming this on the Covid-19 economic disruptions.
The council said about $8 million goes towards salaries and as such the reduced collections leave it with a big deficit every month.
The cash-strapped council is therefore failing to meet most of its obligations such as funding rehabilitation of roads or upgrading its water pumping capacity which is failing to cope with demand.
Councillors in June approved a new pay structure for employees that has seen the lowest worker getting $2 550 and the highest earning $22 627 per month and this has worsened the local authority’s financial position.
Workers are still demanding more and council is saying given the dwindling revenues, it is not in a position to award workers another increase.
In an interview yesterday, Mayor Councillor Josiah Makombe said the Covid-19 pandemic had affected council cash inflows as both businesses and residents were defaulting.
He said the Covid-19 pandemic had hit hard the pockets of residents and industry hence the sharp drop in revenue collected every month which was adversely affecting service delivery.
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