Rusape council in the dock, faces financial ruin

Lovemore Kadzura
Post Reporter
RUSAPE Town Council (RTC) has failed to regularly and adequately remunerate its employees for the past three years, forcing them to seek court intervention to compel the employer to fulfill labour obligations and clear arrears totaling hundreds of thousands of dollars.
The local authority last paid its employees in full in August 2023, leaving them disgruntled, demoralised, and struggling to survive.
The non-payment of salaries has led to a severe decline in service delivery, with emergencies such as sewer and water bursts not being promptly attended to, causing suffering among residents and ratepayers.
According to the case pitting Mr Joseph Chikunguru and others v Rusape Town Council (Case No. TY/20/25), a certificate in terms of Section 98(13) of the Labour Act (Chapter 28:01) was issued on November 24, 2025 by Labour Arbitrator, Mr Munyaradzi Chandakaita, ordering the bankrupt local authority, to pay all its employees their full salaries and benefits.
This follows an application by the workers, represented by Zimbabwe Federation of Trade Unions (ZFTU), demanding that the council pay its members.
Following the issuance of the award by Mr Chandakaita and RTC’s reluctance to pay its workers, the local authority risks the attachment and disposal of some of its assets and properties.
Additionally, the council is accruing mounting legal costs defending lawsuits from employees and other creditors.
However, when contacted for comment, RTC chairman, Councillor Lovemore Chifomboti denied any knowledge of the arbitral award, insisting that he has not been briefed on the latest development by the council management.
“Unfortunately, I have not been briefed that there is an arbitral award compelling council to pay outstanding salaries to employees. Check with management. The ruling could be circulating on social media, but it has not reached me officially. We are concerned with the welfare of our staff. Personally, I have a labour background, and I respect labour laws. We have to find a solution to this,” said Councillor Chifomboti.
The dispute was initially referred to the labour officer under case Nos. 98/24 and N12/25, where a certificate of no settlement was ultimately issued.
On October 23, 2023, the parties appeared before Rusape labour officer, one Mr Gotora over wage arrears, which were then running from June 2023 to November 2024, plus the 2023 and 2024 bonuses. A certificate of settlement was signed, in which the respondent effectively acknowledged liability for the wage arrears and undertook to clear them progressively. The applicants alleged that, despite the undertaking, the council reneged on this settlement and continued to pay only small, irregular amounts of between US$50 and US$100, leaving substantial arrears outstanding.
The matter was referred to the tribunal for compulsory arbitration by labour officer, Mr T Vushe, after he issued a certificate of no settlement on August 22, 2025, pursuant to a futile effort to resolve the matter through conciliation in terms of Section 93 of the Labour Act (Chapter 28:01).
RTC did not deny owing the employees their salaries, but instead claimed that they were facing financial challenges, resulting in them struggling to fulfill their municipal obligations.
The council also argued that the employees’ application was improperly before the arbitrator, as they had changed the labour union. This argument was dismissed by the arbitrator, who said it did not change the fact that the council owed its employees.
Mr Chandakaita gave the council and its employees two weeks to reconcile the actual amount owed, and ordered that the council has three months to settle the arrears, in three tranches.
“Rusape Town Council has failed to pay the employees’ wages and bonuses in full in terms of the applicable Collective Bargaining Agreement and the Labour Act for the period August 2023 to June 2025, and continues to be in arrears up to the date of this award.
“The parties shall, with 14 days of the date of the award, jointly reconcile the exact quantum of arrears due to each applicant. In the event of disagreement, either party may approach this tribunal for clarification or a supplementary award on quantum, on the same papers duly amplified where necessary.
“Should Rusape Town Council default on the first payment, the entire outstanding balance shall become immediately due and payable, and the employees shall be entitled to register this award with the relevant courts for enforcement. Interest on the outstanding amounts shall run at the prescribed rate from the date of this award to the date of full and final payment. Given Rusape Town Council’s sustained non-payment of wages, it shall bear one 100 percent of the arbitration costs and pay the same within 14 days of receipt of the award,” ruled Mr Chandakaita.

Related Posts

Another precious point for Manica Diamonds

Moffat Mungazi Sports Reporter THE journey to safety took another step in the right direction for Manica Diamonds after bagging a precious point when they held Bulawayo Chiefs to a…

Gem Boys seek winning sparkle

Moffat Mungazi Sports Reporter BUOYANT Manica Diamonds are seeking to take their undefeated streak to five consecutive matches when they face Bulawayo Chiefs away at Babourfields this afternoon to keep…

Leave a Reply

Your email address will not be published. Required fields are marked *

×
×