Business / Companies
Meikles workers challenge retrenchment
26 Mar 2015 at 12:00hrs | Views
Meikles workers who received letters of retrenchment last Friday have instituted legal proceedings against their employer in an effort to get their retrenchment matter resolved.
The workers are embroiled in a dispute with their employer over their terminal benefits.
The employees were laid off last Friday and they argue that their termination of employment was sudden and they were supposed to receive service benefits of one and half months per year in which they served the company, two months per year of service as a severance package, a month for relocation and three months medical aid.
"We had taken staff bank loans, and medical aid bills. They only gave us money for three months notice and other, which they combined and taxed, which is very unfair," said one retrenched worker.
"We have now taken the case of the non-managerial staff to the National Employment Council and the case of managerial staff to the Ministry of Public Service, Labour and Social Welfare, so we will pursue the law and we have a hearing for both cases next month," said Mr Chuchu.
The company has embarked on a staff rationalisation exercise to cut on costs and improve viability.
About 153 workers at retail stores in Harare, Bulawayo and Mutare have been laid off and half a million dollars has been set aside for the exercise.
Source - zbc
