Chinese company fined for under-declaring workers to NSSA

Mining firm Jiangxi Risheng Pvt Ltd has been convicted for under-declaring its workforce to the National Social Security Authority (NSSA), resulting in a financial prejudice to the state amounting to nearly US$100,000.

Represented by Meng Quangyuan, the company, which operates at Detroop Mine in Chikuti, Mashonaland West, appeared before the Chinhoyi Magistrate Court facing charges of contravening the NSSA Act [Chapter 17:04].

The Zimbabwe Anti-Corruption Commission (ZACC) launched investigations following a tip-off that the company was significantly under-reporting its employee numbers. While Jiangxi Risheng had been declaring only 61 workers to NSSA, joint investigations by ZACC and NSSA revealed the company was actually employing 273 workers  -  comprising 190 permanent staff and 83 contract workers.

The under-declaration resulted in the non-payment of mandatory contributions under both the Pension and Other Benefits Scheme and the Accident Prevention and Workers Compensation Scheme. The total outstanding amount due was calculated at US$96,914.42.

In court, Meng Quangyuan pleaded guilty on behalf of the company. The magistrate fined Jiangxi Risheng US$200 and ordered the company to pay the full outstanding amount of US$96,919.42 within 30 days.

The conviction highlights growing scrutiny by authorities on employers failing to meet their statutory obligations, with ZACC and NSSA vowing to continue joint efforts to uncover similar cases across sectors.