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Lovemore Zigara Midlands Correspondent
THERE is still no joy in sight for New Zimsteel workers after the giant steelmaker’s board failed to honour its promise to pay outstanding salaries for the past three months. Nyasha Makuvise, the steelmaker’s board chairman, pledged to pay the employees three months salaries when the company paid the workers school fees allowances among other benefits by May 31.
Workers at the Redcliff-based steel plant are still to receive salaries in four years and the wage bill and associated benefits have skyrocketed to about $110 million.
Zisco Joint Workers Union chairman, Benedict Moyo, said nothing had reflected in their accounts by yesterday. He said the announcements by the board had inconvenienced workers as they had rushed to promise to pay their creditors in anticipation of getting their salaries.
“The Zisco board chairman, Nyasha Makuvise personally pledged that the workers would receive their salaries before the end of the month when they paid us our allowances.
“It is month-end now but there is nothing in the workers’ accounts and his announcements have created inconveniences for the workers as they owe creditors who are now demanding their dues on the basis of those pronouncements,” he said.
Moyo said when the New Zimsteel board chairman made a commitment to pay the workers, the latter asked Makuvise to make a written commitment which he objected.
The workers’ union leader said Makuvise had given them his word that the steel manufacturer would use the minutes of the meeting as the basis of honouring the pledge.
He said the workers had since taken up the matter with Industry and Commerce Minister, Mike Bimha.
Efforts to get comment from Makuvise and the minister were fruitless as they were not picking up their mobile phones.
Essar Holdings snapped up a 54 percent stake from government in September 2011 in a deal worth $750 million but production is yet to commence as some loose ends of the deal have not been finalised.
The Redcliff steel company is expected to employ at least 7,000 workers when production resumes.
Last month, Essar Africa Holdings began a skills audit of the workforce at the giant steel producer ahead of its envisaged opening later this year.
The company employs over 1,000 workers who have gone for years without pay. At its peak the former Ziscosteel produced more than one million tonnes of steel per annum and employed up to 4,000 workers.
Online Reporter