News:Employers not keen on retrenchment packages

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<vote /> The Employers' Confederation of Zimbabwe (EMCOZ) wants the Labour Amendment Act passed last year to be amended further to remove a provision that requres employers to pay retrenchment packages. Employers have argued that there is no need to pay retrenchment packages for workers they lay off because they enjoy other benefits such as pensions and gratuities.

EMCOZ representatves appeared before a Parliamentary Portfolio Committee on Public Service, Labour and Social Welfare on Monday and argued that the Labour Amendment Act protected the rights of the workers while ignoring the rights of the employer.

EMCOZ also challenged the constitutionality of the amendment act in the courts for demanding that employers pay retrenchment packages to employees at a rate of two weeks' salary for every year served.

EMCOZ senior vice president Callisto Jokonya said that,

"The most difficult law we have in this country is the labour law. To me, it encourages laziness, it moves away accountability and it penalises the company or the investor. If an employee is no longer performing and delivering the results, the best is that we disagree and part ways."

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