The money could have significantly contributed towards service delivery, observers have said.
By last week, 171 employees had been reinstated, while 146 more are waiting to receive reinstatement notifications.
Some of the workers were dismissed without a hearing while others were barred from resuming duties after long periods of absence and were not given an opportunity to defend themselves as the Labour Act stipulates.
Of the 171 reinstated to date, US$2,2 million has been paid out as either compensation or outstanding salary arrears for the period the workers were not giving any service to the city.
In June alone 62 workers were reinstated at a cost of US$825 831 to the city. The highest payout was US$38 497,82 while the lowest was US$1 119,50 with the majority of the payouts in the range of US$10 000 to US$20 000.
This meant that the city’s salary bill shot to US$4,8 million in June. Any huge payments invariably affect the salary bill.
Local authorities generate their revenue from ratepayers who naturally expect the money to fund service delivery.
Some of the workers had been unfairly dismissed, suspended or asked to stay at home while their employment status was reviewed.
A letter by the human resources director, Mr Cainos Chingombe to all returning workers who had left the city for greener pastures within the region and internationally, has also caused the haemorrhaging of funds from the city, insiders have revealed.
The letter was written on February 23 2009.
“It has come to my attention that there are some employees who have been reporting for duty and have pending disciplinary cases. Please be advised that such employees’ salaries, remain frozen, pending the conclusion of their cases. Accordingly, they should not be accepted back at work,” said Mr Chingombe in the letter.
Armed with copies of that letter, some of the workers with assistance from Harare Municipal Workers’ Union have won their cases for reinstatement, arguing that they were forced to stay at home without a hearing.
Councillors have expressed dismay over the matter during full council meetings even suggesting that town clerk Dr Tendai Mahachi should institute disciplinary measures against his senior officials who cost the city huge sums of money.
Other suggestions have been that bungling directors and managers should be made to pay the costs of the arbitral awards.



