Bitumen World forced to cut jobs

One of Zimbabwe's leading construction firms, Bitumen World (BW), has announced job cuts due to delayed payments from government projects, highlighting the ongoing financial challenges in the country's construction sector.

The company cited persistent delays in settling arrears for road rehabilitation, dam construction, and other infrastructure projects, forcing it to realign operations amid cash flow pressures. Market analysts suggest the government's slow payments, particularly in the local ZWG currency, are part of broader efforts to curb parallel market activity.

BW CEO Andre Zietsman described the decision as "very tough" but necessary to ensure the company's long-term viability. "While the decision to restructure was not made lightly, it is essential for ensuring our ability to continue contributing meaningfully to infrastructure development in Zimbabwe and beyond," he said.

Zietsman acknowledged the human cost of the layoffs, noting that they affect employees who have worked tirelessly to build the company's reputation. The firm pledged to handle the process "with respect, transparency, and dignity," offering severance packages and transition assistance to those impacted.

The decision underscores the delicate balance between government fiscal policy and the operational realities of contractors vital to Zimbabwe's infrastructure development.