Uproar over NRZ managers’ contracts

Pamela Shumba Senior Reporter
The National Railways of Zimbabwe (NRZ) decision to hire retired managers and retain those who have reached retirement age has sparked outrage from workers who view it as a corrupt exercise meant to enrich a few at the parastatal.The state-run firm is in the process of introducing post-retirement contracts of employment for those aged 60 years who have skills and experience critical to its operations.

According to an internal memo dated April 30, 2014 which Chronicle is in possession of, the NRZ management is making frantic efforts to push the retirement age from 60 to 65 years, citing loss of experienced workers, who are difficult to replace.

The memo states that the NRZ has over the past years experienced an exodus of critical staff possessing a variety of skills ranging from artisans, engineers and managers, making the new measures that would apply to managers and supervisors necessary.

“The overall effect of the loss of skills has been the serious dislocation of succession plans for most functions. This is further exacerbated  by the  retirement age of 60 years which continues to see the organisation losing the few remaining experienced supervisors and managers.

This is despite the fact that the majority of them are still fit and willing to continue serving the organisation for many more years,” reads the memo signed by acting general manager Louis Mukwada.

“Whilst the option to review the retirement age, for example to 65 years is available for consideration, the human resources threat facing the NRZ demands an immediate term solution that cannot await the extensive collective bargaining process that must precede the retirement age review. It is against this background that it has been found necessary to formally introduce post retirement contracts for re-employment of retired personnel as an immediate to medium term human resourcing intervention necessary to complement the organisation plans.”

The memo also states that the workers who would benefit from the post retirement contracts would be paid salaries, benefits and allowances equivalent to what they were getting before retirement.

Railway Artisans Union (RAU) president Shadreck Mutakura said yesterday that ordinary workers were very concerned about the latest development.

He added that most of them were actually opting for early retirement due to mismanagement that has seen workers failing to get their salaries on time.

He described the move as a corrupt exercise meant to benefit managers who still want to continue earning hefty salaries and allowances.

“We were not informed about this and we’re concerned because there’s no transparency at all. First of all they should not be talking about this as a succession plan because a succession plan should have been done long back. We’re treating this as corruption because under normal circumstances they should inform us about such developments.

“The situation on the ground is that ordinary workers are opting to retire at the age of 55 because of the slashed  salaries that they are earning and the depressing poor working conditions. This is therefore meant to benefit only the top management because they are benefiting and want to continue fleecing the already collapsing parastatal,” said Mutakura.

He said if the proposal was referring to artisans, then the management should have communicated with the relevant unions..

“We don’t even know the targeted groups but what we know is that it’s the people at the top who don’t want to go. And it’s disturbing to note that the same people have nothing to offer. They have failed to revive the organisation,” he said.

Zimbabwe Amulgamated Railway Workers Union (ZARWU) president Kamurai Moyo concurred with Mutakura and said the exercise was only meant to protect top managers.

“We’re totally against the move because it benefits the managers who are simply trying to protect one another and stick to their positions as the parastatal collapses. We wouldn’t have argued if they were perfoming well but it’s unfortunate that they’re not and we’ll not accept their decision. All they want is to continue benefiting yet they’re doing nothing,” said Moyo.

He said the move contrary to the company’s decision made in 2010 that workers could now opt for early retirement at the age of 55.
Board chairman Alvord Mabena referred all questions to Mukwada whose mobile phone was not being answered.

NRZ public relations manager Fanuel Masikati defended the decision, saying it applied to all critical positions at all levels and was meant to close the skills gap.

“It’s not extending retirement age but  we are simply trying to address the skills gap through post retirement contracts of employment where people can retire at the age of 60 and are re-employed on contract basis for at least three years.

“It specifically applies to those who possess experience and skills that are not available internally or externally. The advantage of keeping these people is that they have vast experience, which  benfits the institution and the nation,” said Masikati, adding that the exercise was not only perculiar to NRZ.

 

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