by Innocent Mujeri
Government is committed to improving its workers’ salaries and negotiations are about to be finalised on how civil servants can be cushioned against the increase in the cost of living.
This was said yesterday by Public Service Commission secretary, Ambassador Jonathan Wutawunashe. He further said negotiations to improve salaries for civil servants are now nearing finalisation.
“Salaries have to improve and the Government is still committed to that. The National Joint Negotiating Council and representatives of Government are meeting this week for consultations,” said Ambassador Wutawunashe.
Ambassador Wutawunashe further said the salary negotiations between Government and its workers would be boosted by the fact that the local currency is now relatively stable against the American dollar.
“Our local currency is now firm on the market after the auction system introduced by the Government to curtail the marketplace distortions and it boosts the negotiation process,” said Ambassador Wutawunashe.
According to Ambassador Wutawunashe, the salary negotiations are expected to be finalized before the end of this month.
On the COVID-19 allowance currently being paid to civil servants and pensioners, he said Government was still committed to continue paying it.
Meanwhile, as a way of further cushioning workers from the harsh economic conditions, the Minister of Finance and Economic Development, Professor Mthuli Ncube, said that there is need to periodically review the income tax free threshold of civil servants, currently pegged at $5 000, to increase their buying power.
Speaking in the Senate yesterday, Prof Ncube said the economy was on the recovery path, hence Government will consider positively reviewing the income tax free threshold.
“On the thresholds, we have been dealing with inflation, an exchange rate which has been moving upward, but now I am pleased to see that the exchange rate is now stable.
“So, if there is still need that perhaps in order to restore the value of incomes, thresholds need to be increased and so forth, I would suggest that the next Budget is in two months’ time. We will have another opportunity to review this together. My desire this time was to give everyone just a relief, for now $5 000 and in another two months we will be back here considering the 2021 Budget in the month of November”, said Minister Ncube.
Government has been committed to improving conditions of its workers and this year it has reviewed salaries of civil servants to cushion them from hyperinflation. In June this year, the Government awarded its workers and pensioners a 50% pay rise and also introduced a flat non-taxable COVID- 19 allowance of US$75 dollars per month to all its workers and US$30 to all pensioners.