HomeLettersRetrenchment package, an insult

Retrenchment package, an insult

After having served Tristar Insurance loyally, one would expect a generous package in appreciation of service rendered. During the period of our service, our social lives suffered because for one week of every month we were expected to work overtime for which we were never paid.

The Labour Act is very clear that employees have to be paid for working overtime but due to fear of losing our jobs, we could not sue the company.
Tristar Insurance has now decided to retrench in what I think will be the cheapest retrenchment exercise in Labour history. They are offering to pay half a month’s salary for every year served when others pay as much as six months’ salary for every year served. To make matters worse, the salary being talked about is the minimum wage which was set early last year.

During the year no increment was awarded and no bonus was paid. The company introduced a profit sharing scheme in place of the 13th cheque. The profit share was suspended when Tristar had made a profit, then re-instated when it was reporting losses.

The most painful part of all this is that Tristar is an indigenous company so basically, this is a case of brother abusing brother. I think it’s high time the government introduces minimum retrenchment packages to protect weaker employees from companies like Tristar Insurance.

Tonderai Muzuva, Harare.

Recent Posts

Stories you will enjoy

Recommended reading