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<p>Human resources professionals have called for an upward review of workers’ salaries as disposable incomes have been eroded by rising inflation.</p>
<p>Institute of People Management of Zimbabwe (IMPZ) president Precious Nyika told a business meeting that the taxable threshold should be raised from RTGS$350. Said Nyika:</p>
<blockquote><p>The exchange rate today is 4,5 which tells you that definitely, salaries are not following the exchange rate.</p>
<p>However, having said that salaries are not following the exchange rate, the tax is now a big issue.</p>
<p>RTGS$300 does not buy what $300 used to buy (when the local currency was at par with the US dollar) and so the worker is significantly worse off.</p>
<p>The tax is not doing them (employees) any favours. So, with that tax-free threshold, plus the 2% (transfer tax) on every transaction, I do not know what<br/>
the worker has.</p>
<p>The biggest message I want to leave for the minister is really around a PAYE review.</p>
<p>What that means is that the employee is poorer and cannot access the same things they could access last year.</p>
<p>Now, they are putting pressure on business to increase salaries using the exchange rate.</p>
<p>But, what we know as HR (human resources) professionals is that when we increase salaries we do not follow the exchange rates, we follow inflation and this is how it works the world over.</p></blockquote>
<h4><strong>Related:</strong></h4>
<ul>
<li class="entry-title">
<h4><strong><a href="https://news.pindula.co.zw/2019/04/10/farm-workers-receive-47-pay-rise/">Farm Workers Receive 47% Pay Rise</a></strong></h4>
</li>
<li class="entry-title">
<h4><strong><a href="https://news.pindula.co.zw/2019/04/15/mdc-5th-congress-nominees-mash-central-province/">UPDATED: Govt, Civil Service Agree On RTGS$400 Million Cost Of Living Adjustment</a></strong></h4>
</li>
<li class="entry-title">
<h4><strong><a href="https://news.pindula.co.zw/2019/03/21/rural-teachers-reject-cola-say-its-disgusting/">Rural Teachers Reject COLA, Say It’s Disgusting</a></strong></h4>
</li>
</ul>
<p><strong>More: <a href="https://www.newsday.co.zw/2019/04/calls-for-salary-wage-adjustments-intensify/">Newsday</a></strong></p>


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