Unemployment rate worsens

Retrenching of workers has once again hit workers of the Dairibord Holdings in Bulawayo and Mutare, hence pushing up unemployment rate which is already high. The company stopped production at its Bulawayo and Mutare plants as the group rationalises operations to increase profit margins, last week. Dairiboard Company is not the first company to close its operations in Bulawayo. Last year in November, Zimpharm Private Limited reportedly withheld salaries for 37 workers at its Bulawayo branch for the past two months to force them to accept voluntary exit packages. Latter on the Company relocated to Harare. Closing of Dairiboard Holdings comes at a time when Bulawayo has recorded over 90 company closures since the 2008 hyper-inflationary period. Companies are closing day by day in Bulawayo and leaving workers destitute. Where is the future of this city?

The Gvt milks its own people.

The move by the government of Zimbabwe to increase fuel price during the referendum period has left many Zimbabwean citizens in jeopardy situation. The cost of living has been on a steady rise since last month due to that movement. We have seen how the price of basic commodities like cooking oil and mealie-meal has increased by 20% and 42% respectively. A report by Chronicle on the 21st of March 2013, reveals that the latest statistics from the Consumer Council of Zimbabwe (CCZ) show that the cost of living for a family of six increased to $570,75 in February from $567,90 in January 2013. The food basket increased by $2,48 to $157,91 from $155,43 in January. All this affects poor Zimbabweans who earn next to nothing. To make matters worse, others do not work at all, they depend on farming of which this point in time there is nothing in their fields due to shortage of rainfall (especial the parts of Matabeleland and Manicaland). The majority of the workforce, like civil servants, earn below the poverty datum line meaning that many people do not have disposable income. The diesel increased from $1,32 to $1,40 per litre and petrol from $1,47 to $1,55 per litre. The question is: Will the government be able to put the price of the fuel back to normal. What plans do the government have on the issue? Does it realise that people are suffering due to its actions?

Byo turned a ghost city

Last week we heard a report that the President Robert Mugabe’s family dairy company, the Gushungo Holding has stepped up efforts to claim market share in the highly competitive sector after it embarked on an aggressive marketing drive. We just heard that they were carrying a massive recruitment exercise for sales, marketing and distribution. They are also recruiting 300 vendors as a bid to boost the company’s market presence. What is good about this exercise is the fact that it will create employment in the areas where they operate, instead of importing general labour. This will reduce the unemployment rate which has reached negative level of about 98%. For example, the company currently has 500 employees yet producing about 300 000 litres of raw milk and 70 000 litres of yoghurt monthly. It will be operational in areas such as Mazoe, and Harare. The company was based in Bulawayo and evacuated at the beginning of this year due to the reasons known to them. A number of workers in Bulawayo lost their jobs. What will be Bulawayo if companies such as the Dairiboard Zimbabwe Limited de-industrialises? To make matters worse, more than 20 companies moved from the city to industrialise Harare at the expense of other cities. Therefore, what is the motive behind de-industrialisation?

High unemployment rate in Zimbabwe-what can be done?

Zimbabwe has the highest unemployment rate of about 98%. This, according to other economists is as a result of poor economic strategies. They say economic policies like land reform programme scared away potential investors, hence increasing unemployment rate. However, others blame economic embargo by other Western countries. The European Union unanimously agreed to put Zimbabwe under what they call ‘targeted sanctions’. This happened between the years 1990-2000 when Zimbabwe, under the leadership of ZANU-PF, has carried out the land reform programme or policy which saw white settlers losing plots they have grabbed in Zimbabwe before 1980. They accused Zimbabwe of abusing human rights, hence sanctions. But is it the case? What can we do as a country? Can we just sit and watch our economic situation dilapidating day by day? Certainly not. The Ministry of Youth development, Indigenisation and Empowerment tried to empower Zimbabwean youth by granting loans to certain individuals. But this is not enough. We need more. Zimbabwe can copy what Spain did to alleviate unemployment problems in her country. She pledged €3,5 billion over four years to ease mass unemployment among the country’s youth, as the government tries to stem a relentless tide of layoffs and lengthening jobless queues. She also took measures, such as lower social security payments for young self-employed workers and up-front payment of unemployment benefits for entrepreneurs. Spain’s unemployment rate has risen to 26% — the highest level since the 1970s and one of the highest in the European Union — and more than half of 18-25 year-olds are out of work (Newsday-14 March 2013). So I suggest Zimbabwe should something to solve this problem. What do you think should be done?

Increase in fuel uncalled for!

The government of Zimbabwe has increased fuel price by 20% (diesel) and 25% (petrol) as a way of getting money for referendum conduction. This increase of fuel is uncalled for. It shows how irresponsible and uncaring our government is. It is actual a recipe for disaster on the side of ordinary people. How on earth will the government do such a thing? The members of the public will definitely suffer because the price of other basic commodities such as mealie-meal, cooking oil, and soap among others increased because of the increase in fuel prices. Commuter omnibuses would be forced to hike their charges too. So how will poor Zimbabweans make an end to meet? The government was supposed to use money they get from tax payers. Mining industry is producing millions of dollars daily. So where is the going? There is diamond, gold, platinum and the list goes on. The government collect thousands of dollars from the Toll gate or ZINARA on daily basis. So where is that money going to because our roads are at a bad state? There is no improvement at all! The Tourism industry also adds something to the Treasury. So where is the money government? I think, the government was supposed to anticipate this and budget for it before. We are sick and tired of this malfunctioning government. Do not suck us because we are dry like dry bones.

Zimbabwe Indigenous Miners’ Association plans to educate and empower illegal miners The Zimbabwe Indigenous Miners’ Association (Zima) plans to embark on an outreach campaign to educate and empower illegal miners on how to formalise their operations (Chronicle 10/03/13). ZIMA business co-ordinator Mr Nqobizitha Dube told Chronicle news reporter that they will educate illegal miners operating in remote areas on how they can acquire prospector’s licences as well as facilitate in creating links with investors. How then Zimbabwe will benefit out of this campaign? 1. Since illegal miners pose threats to the environment, the campaign will lessen that. Education will make illegal miners to realise that their activities pose threats to environment. 2. Zimbabwe’s economy will improve in the sense that minerals which were being smuggled into neighbouring countries like South Africa would be channelled to Zimbabwe’s mineral basket.

Standard Chartered Bank committed to Byo industry revival

Standard Chartered Bank committed to Byo industry revival

Standard Chartered Bank committed to Byo industry revival

Indiginisation for what and for who?

The Ministry of Youth Development and Economic Empowerment in Zimbabwe has engaged private owned companies including banks to cede at least 51% of their shares to the government/community. as far as everyone is concerned in Zimbabwe this is a strong economic drive. however, the problem now is the fact that the government has allowed politicians to abuse this powerful economic drive. Politicians are using it as a strategy to gain political mileage by luring youths. The for "who and for what" of this programme is always oblique and obscure. there is no equality. The locals are just given a quarter if not nothing. Those with financial muscle and excellent political credentials for certain parties are benefiting. Hail to the programme but down with inequality. Do the right think Mr Kasukuwere, we support you.

How Zimbabwe can settle its debt with IMF?

Zimbabwe owes IMF (International Monitory Fund) a lump of $10, 7 billion. Newsday (04/03/2013) reported that IMF representatives are in Harare for this debt. As Zimbabwean citizen, I deem it necessary to point out some facts about what could be done if the government of Zimbabwe is serious about settling this debt. I came out with few points so that you can add others you deem necessary also.

1.       Zimbabwe is rich in natural resources such as diamonds and gold. So money can come from these natural resources.

2.       Ministries such as the Ministry of Home Affairs can submit due revenue to the Treasury.

3.       Zimbabwean government should reserve the money that has been put aside by the Ministry of Home Affairs for recruiting 10 000 police officers and use it for debt settlement (recently Newsday reported that Zimbabwe Republic Police force is set to recruit 10 000 more officers to maintain law and order ahead of next month’s referendum and subsequent election. The number will mount from 40 000 to 50 000).

4.       Money can also come from UNWTO through tourism.

5.       Foreigners like Chinese who have invested in mining industry should pay their dues in full. (Last year Newsday reported that Chinese are giving little or no revenue to the Treasury)

What should Zimbabwe do?