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Govt hikes rentals for civil servants

by Staff reporter
08 Apr 2015 at 09:12hrs | Views
Government has increased rentals for civil servants and other tenants occupying its houses by more than 100 percent while those no longer in the civil service have been ordered to leave.

According to a circular sent to Government departments by the Ministry of Local Government, Public Works and National Housing in February, tenants who have defaulted in paying rentals should have their leases terminated.

The move has angered civil servants' unions who yesterday said the hikes would erode their income at a time they expect to be cushioned through non-monetary incentives.

Government has, as part of the non-monetary incentives, directed all local authorities to cede 30 percent of serviced stands to civil servants with Public Service, Labour and Social Welfare Minister Prisca Mupfumira saying the National Social Security Authority was setting up a building society dedicated to help civil servants secure affordable housing loans.

Property and economic analysts allayed fears that the move by Government would trigger a general increase in rentals saying the prevailing macro-economic factors made it difficult for landlords to hike rentals as properties would be left without tenants.

Civil servants living in one-bedroomed houses in high-density areas will now part with $50 from $15, those in two-bedroomed houses will pay $105 up from $20 while those in three-bedroomed houses will now pay $150 up from $25.

Source - The Herald