News / National
PPC Zimbabwe lays off managers
27 Nov 2024 at 07:08hrs | Views
Cement manufacturer PPC Zimbabwe is facing growing discontent among its middle-level management in the southern region following reports that over 20 local managers are set to be laid off as part of a company-wide restructuring plan. The retrenchments are reportedly part of a broader turnaround strategy aimed at improving the company's efficiency, but they have sparked anger and resentment among the affected employees.
According to sources within the company, the layoff targets appear to be focused exclusively on local staff, with foreign nationals in similar managerial positions being exempted from the cuts. "There are about 400 employees, and with its turnaround strategy, the company is only targeting local management while protecting foreigners holding similar posts," said one middle-level manager, who wished to remain anonymous.
Another manager expressed frustration over the timing of the retrenchments, especially given the company's recent financial success. "How can a company report an increase in revenue in June and be able to declare dividends, but all of a sudden is retrenching the same workers who played a pivotal role in producing these good results?" they questioned.
PPC Zimbabwe has a history of replacing local non-executive managers with foreign counterparts, a move that has raised concerns about the company's commitment to its local workforce. The recent decision to lay off local employees has reignited these concerns, with many employees questioning the fairness and transparency of the company's decisions.
In January 2024, PPC Zimbabwe appointed Albert Sigei as its new managing director. Sigei, who brings a wealth of experience to the company, was reportedly chosen to lead the firm's turnaround efforts. However, his appointment was delayed due to a legal battle over his work permit, which was contested in court. Sigei eventually won the case, and his tenure is now underway.
Despite the company's positive financial results, with a reported 20.6% year-on-year increase in revenue for the financial year ending March 31, 2024, PPC Zimbabwe has faced criticism for its decision to retrench local staff. The company reported revenues of approximately US$550 million for the period, up from US$457 million the previous year, with much of the growth attributed to its Zimbabwe subsidiary's performance.
Efforts to obtain comment from PPC Zimbabwe's company secretary, Tawanda Chiurayi, who also serves as head of legal services, have been unsuccessful. Chiurayi has not responded to inquiries about the retrenchment plans for the past three weeks, despite multiple attempts to contact him.
As the situation unfolds, the local management at PPC Zimbabwe remains apprehensive about the future, particularly given the company's recent financial success and the ongoing debate over its treatment of local employees. With the company restructuring its workforce, many are questioning whether the decisions being made reflect a commitment to sustainable growth or a disregard for the contributions of local staff.
According to sources within the company, the layoff targets appear to be focused exclusively on local staff, with foreign nationals in similar managerial positions being exempted from the cuts. "There are about 400 employees, and with its turnaround strategy, the company is only targeting local management while protecting foreigners holding similar posts," said one middle-level manager, who wished to remain anonymous.
Another manager expressed frustration over the timing of the retrenchments, especially given the company's recent financial success. "How can a company report an increase in revenue in June and be able to declare dividends, but all of a sudden is retrenching the same workers who played a pivotal role in producing these good results?" they questioned.
PPC Zimbabwe has a history of replacing local non-executive managers with foreign counterparts, a move that has raised concerns about the company's commitment to its local workforce. The recent decision to lay off local employees has reignited these concerns, with many employees questioning the fairness and transparency of the company's decisions.
In January 2024, PPC Zimbabwe appointed Albert Sigei as its new managing director. Sigei, who brings a wealth of experience to the company, was reportedly chosen to lead the firm's turnaround efforts. However, his appointment was delayed due to a legal battle over his work permit, which was contested in court. Sigei eventually won the case, and his tenure is now underway.
Despite the company's positive financial results, with a reported 20.6% year-on-year increase in revenue for the financial year ending March 31, 2024, PPC Zimbabwe has faced criticism for its decision to retrench local staff. The company reported revenues of approximately US$550 million for the period, up from US$457 million the previous year, with much of the growth attributed to its Zimbabwe subsidiary's performance.
Efforts to obtain comment from PPC Zimbabwe's company secretary, Tawanda Chiurayi, who also serves as head of legal services, have been unsuccessful. Chiurayi has not responded to inquiries about the retrenchment plans for the past three weeks, despite multiple attempts to contact him.
As the situation unfolds, the local management at PPC Zimbabwe remains apprehensive about the future, particularly given the company's recent financial success and the ongoing debate over its treatment of local employees. With the company restructuring its workforce, many are questioning whether the decisions being made reflect a commitment to sustainable growth or a disregard for the contributions of local staff.
Source - newsday
