The Government of Zimbabwe has backed down in the face of furious protests by soldiers, nurses and doctors after an expected pay rise this month was withheld without notice.
In a statement, the Ministry of Finance said all working Public Servants and pensioners would receive a 50 per cent increase.
“In addition, all Civil Servants will be paid a flat, non-taxable COVID-19 allowance of $US75 ($A108) per month,” the Ministry said.
“Government pensioners will be paid a flat non-taxable COVID-19 allowance of $US30 ($A43) per month,” it said.
“Government has taken due regard of the fact that in addressing the wage challenges faced across the Civil Service, any salary reviews will need to be done with a holistic framework in order to ensure that such a review does not impose a negative shock in the market.”
The Ministry advised all Public Servants to immediately open US dollar-denominated bank accounts to facilitate the processing of their allowances.
The Ministry said it would carry out an assessment of the impact of the salary review on the National Budget.
“Government reiterates its commitment to payment of a living wage to its employees, whilst ensuring sustainability of the Budget,” it said.
“Government is also widening the remuneration framework for Civil Servants to introduce significant non-monetary benefits and these will be announced in due course.”
Earlier, soldiers had gone on the rampage in Bulawayo, forcing residents to return home and businesses to close.
The armed soldiers, irked by the salary freeze, also urged residents to loot goods in some supermarkets.
Harare, 19 June 2020