adminStarafrica Corporation subsidiary Gold Star Sugars has failed to pay its workers their September salaries as problems continue to mount for the refinery.
The company has since engaged sugar manufacturer Tongaat Hulett to extend a $6,8 million revolving sugar supply facility to enable it to restart operations at its Harare-based plant.
The last revolving facility was fully utilised and supplies were suspended because Starafrica has not been able to settle the debt.
One of the workers who spoke on condition of anonymity for fear of victimisation said salaries had been coming late for the past three months
“We have been getting our salaries late for the past few months, but this time around the company has failed totally to pay September wages.
“It is a nightmare for most of us as it’s not even clear when the salaries are coming. We actually fear that we may be thrown out where we are staying because we have not yet paid rents,” he said.
He said management was also not aware when the salaries would be paid.
The Harare refinery has not been operating for about four months due to challenges around raw sugar supply, lack of working capital and obsolete equipment.
Contacted for comment, Starafrica Corporation chief executive officer Dr Sam Mushiri admitted that the company was yet to pay the September salaries.
“We run several divisions and some of them have already been paid while a few are being paid right now. We anticipate that payment of salaries at the refinery will be well under way by mid-month,” he said.
“We have experienced some temporary cash flow constraints arising out of some of our debtors not paying us on time.
“We are actively pursuing those debtors and we hope they will honour their obligations to us soon.”
Operations at Gold Star Sugars Bulawayo refinery were also halted more than a year ago. — New Ziana.
Online Reporter