By Tapiwa Svondo
THE Zimbabwe Congress of Trade Unions (ZCTU) has issued a warning to government as it reflects on a tumultuous financial year 2024, describing the season as an “annus horribilis” for workers.
The ZCTU outlined a catalogue of grievances that have left the labour force struggling, hinting of a confrontational approach as they head into 2025.
In a statement, the union lamented the absence of meaningful improvements in workers conditions, highlighting critical issues such as inadequate wages, soaring inflation, and a failing healthcare system, while indicating that there is nothing to celebrate about the year 2024.
“The much-anticipated improvement to the plight of the working people did not materialize. During the course of the year, the working people of Zimbabwe have been confronted with among others: Lack of serious consultation on serious policy issues like the introduction of the Zig currency…
“… Unilateral devaluation the Zig without due care of its implications to the workers and ordinary Zimbabweans; Poverty/slavery wages that have failed to match the poverty datum line of over US$500 against a wage of around US$300;
“Shocking price increases and over the roof inflation levels; Punitive taxation regime on workers and Zimbabweans as a whole; A health delivery system that has failed to recover from collapse and innocent Zimbabweans continue to die of treatable diseases…
“A collapsed education system that has been characterized by chaos and constant threats of industrial action from teachers over low salaries…
“Erratic supply of water and electricity that has decimated industrial production; Loss of jobs, high unemployment and underemployment levels.”
Among other concerns were the low-capacity utilization in industry, serious brain drain in the health sector and other critical sectors while informalisation of the economy was regrettable.
“Institutional collapse, decay and corruption; Endemic poverty afflicting in excess of 80% of the population; Threats, arrests of trade unionists, civic leaders by a paranoid State.
“Given the above, therefore there has been nothing much to celebrate about in 2024 as workers continue to suffer immensely,” further reads the statement.
ZCTU specifically condemned the government’s proposed tax reforms, which include a Fast-Food Tax and a Betting Tax, while vowing to fight the economic “hemorrhage” in 2025.
“Workers should come back prepared to fight against economic hemorrhage as the year 2025 also looks gloomy for workers. The government has already put in place a highly punishing taxation regime.
“So desperate is the Finance Minister that his 2025 budget is hinged on brutal taxation by introducing other taxes such as Fast-Food Tax, Betting Tax and Plastic Bag tax.
“The Minister should realize that overtaxing a nation can have negative consequences as people will begin to think on ways to evade paying taxes; it can lead to dissatisfaction, protests, and even revolution.
“Excessive taxation can also make a nation less competitive in the global market, potentially leading to reduced foreign investment.
“He should also realise that excessive taxation can limit individual freedom and choice, as people have less disposable income to make their own decisions.
“Ultimately, high tax rates can cause brain drain as it drives talented individuals to seek opportunities in lower-tax countries,” ZCTU said.
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