Chronicle Editor
Prince Sunduzani, Business Reporter
SUGAR producer, Tongaat Hulett Zimbabwe has resolved to pay bonuses to its workers.
This is despite the fact that the company has been entangled in labour disputes which saw massive strikes that affected production.
At one time workers embarked on a three-week strike that grounded operations at the company’s two milling plants, Hippo Valley Estates and Triangle Estates.
Last year, an arbitrator awarded Tongaat Hulett Zimbabwe workers salary increases of between 7.5 percent and 15 percent putting to rest a two-year labour dispute between the employer and workers’ representatives.
The workers were demanding a 39 percent wage increase for the lowest grade.
In a statement, the company’s managing director Mr Sydney Mutsambiwa said the ex-gratia bonuses will be pegged at 60 percent of the December salary.
“Following recent conclusion of a challenging and protracted milling season which ran well into December 2017, I am pleased to advise that an ex-gratia bonus has now been authorised for payment with the January 2018 salaries to all permanent employees in the A1 to D2 grade.
“The ex-gratia bonuses will be pegged at 60 percent,” he said.
The bonuses would be paid to permanent employees except for those on notice of termination of employment as of January 1, 2018.
“The ex-gratia bonuses will be prorated in respect of permanent employees in employment for less than 12 months in the 2017 calendar year.
“Contract employees in good standing will also be eligible to receive a prorated ex-gratia bonus,” said Mr Mutsambiwa.
The lowest grade worker at the Lowveld-based company presently earns $150, which is a far cry when compared to their regional counterparts in countries such as Mozambique, South Africa and Namibia.
In the regional countries, the lowest paid worker earns between $450 and $600.
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