THE Automotive and Allied Workers Union of Zimbabwe (AAWUZ) is pushing employers to implement a recent arbitral award granting wage increases to workers in the automotive industry.
Workers in the industry have been awarded a 10% wage hike following collective bargaining negotiations and 20% on housing and transport allowance.
In a letter to employers, AAWUZ secretary-general Winas Murambidza emphasised the binding nature of the award and urged swift action to ensure workers receive the new minimum wages in their February paychecks.
The union’s letter, referencing circular No 01/2025, instructed employers to prepare a new wage schedule reflecting the awarded increases.
“The above matter is the arbitral award of Bianca Chipokosha dated 11 February 2025 and your circular No 01/2025 refers.
“On behalf of the employees we advise that we expect immediate implementation of the arbitral award which binds the employers to pay the new minimum wages forthwith.
“In this regard, we request that you prepare the required new schedule of wages by the award,” Murambidza said in a letter.
Previously the least paid worker was earning US$192 per month and US$60 housing and transport allowance. The new salary has been pegged at US$211,20 while US$72 becomes the new housing and transport allowance.
He said companies should ensure that the new agreement is made available to employee committees.
“All employers are reminded to take note of the productivity bonus scheme, for ease of administration all rates which include dollars and cents, have been rounded off to the nearest dollar.
“All employers are advised that travelling and subsistence allowance per day is to be calculated at 10% of grade 8 employee in the industry and lunch allowance for employees who do not spend a night away from the home station will be based on 3% of grade 8 employees in the industry.
“Do this urgently so that February salary payments take into account the new minimum wages as awarded,” Murambidza said.
The motor industry has been in a wage deadlock since 2023 with employers wanting to maintain the old wage structure citing a harsh economic environment.
The employees argue that the cost of living has shot up and low wages are pushing the majority below the poverty line.
The arbitrator from the Public Service, Labour and Social Welfare ministry granted the award for the wage hike.
She said: “A minimum wage increment of 10% and 20% on transport and housing allowance from July 2024, which shall be paid in three equal
instalments starting from February 2025.”
