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Nyore Madzianike Senior Reporter
In a landmark ruling that is set to change employment terms in the catering industry, the High Court has ruled that the retirement age of people employed in that sector is 60 years as required by the Industrial Agreement: Catering Industry.
Most people in the catering industry thought their retirement age was 65 years in terms of the National Social Security Authority (NSSA) pension scheme.
High Court judge Justice Esther Muremba made the ruling last week in a case in which a former Zimbabwe Catering and Hotel Workers’ Union (ZCHU) organising secretary and education officer Gift Chibatwa was challenging his retirement from the sector at the age of 60.
Chibatwa was served with a retirement notification from his position on November 8 last year, when he was about to reach the retirement age at the end of that month.
He then challenged his retirement at the High Court, arguing he was supposed to retire at 65 years.
In his application, Chibatwa argued that he was governed by the NSSA (Pensions and Other Benefits Scheme) Notice 1993, SI392/1993 amended in 1994, which says an employee may retire on attaining 60 years or at any time thereafter or shall in any case retire on attaining 65 years.
He argued that in terms of the NSSA scheme, his employer, ZCHU, had no basis to force him to retire at 60 years under the Industrial Agreement: Catering Industry Pension Fund.
In his court application where he cited the ZCHU and its acting general-secretary Enock Mahari as respondents, Chibatwa argued that he was not contributing to the catering sector’s pension fund, hence was not bound by its statutes.
The ZCHU and Mahari, who were being represented by lawyer Ephraim Ndlovu of Mabundu and Ndlovu Law Chambers, argued that they had rightfully retired Chibatwa from his job.
In her judgement, Justice Muremba said: “In Zimbabwe there are two types of pensions schemes available and these are a State pension scheme and private pension.
“The State pension scheme is a compulsory pension scheme created by NSSA in terms of the National Social Security Authority (Pensions and Other Benefits Scheme) Notice 1993 (SI393/1993).
“The scheme applies generally to all employers and employees in Zimbabwe who have attained the age of 16, but has not attained the age of 65 and gainfully employed in any profession, trade occupation other than employed in the service of the State or as domestic workers in private households.
“All employers and employees are each liable to contribute to the pension fund an amount determined by the Minister of Public Service and Social Welfare for every month an employee is employed.”
Justice Muremba said the pension contribution to the NSSA scheme that the applicant was making, was not by choice since the law obliged him to do so.
She said even if Chibatwa was only contributing to the NSSA pension scheme, he would not have been bound by retirement provisions in the NSSA scheme SI 393/1993 as amended.
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