Employees hit by RioZim’s temporary closures

02 Nov, 2018 - 15:11 0 Views
Employees hit by RioZim’s temporary closures

eBusiness Weekly

Blessings Chidakwa

KADOMA – Zimbabwe Stock Exchange-listed mining giant RioZim has temporarily stopped operations amid fears of a total shutdown putting the livelihoods of more than 2 000 employees in jeopardy.

Workers recently received communication that they were unlikely to get salaries but grocery as hardship allowance.

Rio Zim Head of Corporate Affairs Executive, Mr Wilson Gwatiringa yesterday confirmed the company’s temporary closure.

“RioZim Limited is ready to resume operations at the gold mines once adequate forex is availed by the central bank for the importation of mining consumables and spares.

“The forex problem is an industry wide issue which we believe will be resolved soon as engagement with the RBZ and other key stakeholders is ongoing,” he said.

Mr Gwatiringa however, refused to be drawn into commenting on questions sent by this publication on whether the mine had been remitting pensions to the Mining Industry Pension Fund amid fears that employees’ pensions were at stake.

He also refused to comment on allegations that Rio Zim was discharging raw effluent into rivers that feed Kadoma’s water supply dams.

The company has for months now been engaging the Central Bank to pay for its gold in hard currency prompting it to stop all its operations until its demands were met.

Workers who spoke to The Herald on condition of anonymity yesterday said they received communication that they were only going to get groceries as hardship allowances.

“We only received 40 percent of our September salaries and we received communication through a letter that this coming month we will receive groceries as hardship allowances,” said the source.

Workers’ representatives could neither confirm nor refute the claims yesterday as it referred all questions to management.

Last week social media was awash with reports that RioZim is engaged in a bitter wrangle with RBZ over foreign currency allocations. Stakeholders were divided on the next move with some proposing a total shutdown of the mine, while others opposed the move.

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