3000 jobs at risk as Tregers retrenches

By Oliver Kazunga

BULAWAYO – Diversified giant manufacturing firm, Tregers Group, is laying off an undisclosed number of workers across its divisions with those affected calling on the government to investigate what they claim to be a deliberate ploy to cripple the company.

The move has induced panic among an estimated 3,000 workers who fear losing their jobs.

Those workers who spoke to Business Chronicle on condition of anonymity said some of their colleagues were laid off last Friday.

Others feared they would be redundant at the end of the month.

“We’ve been told that the company is closing down some of its divisions but we believe this isn’t true. We’re putting this matter in the hands of the government to take seriously and send a probe team to investigate,” said one of the workers.

“We’re being forced to sign documents confirming termination of our employment contracts.”

Tregers Group is one of the biggest firms in Bulawayo running several divisions that include Kango Products, Monarch Steel, Tregers Plastic and Zimbabwe Grain Bag. It also has a branch in Harare.

The workers said they did not understand why management was taking such a decision and alleged the move was deliberate.

“Nobody knows the real facts and intentions of the retrenchment. It’s to do with doing away with permanent employees and sabotaging the government of its shareholding in the group,” said another worker.

“If this is about genuine retrenchment or closure of a registered company that employs five or more workers, that company should give six months notice. In our case, we don’t know if the retrenchment board holds such a letter since the matter wasn’t passed in any works council meetings at Monarch Steel or Shamrock Transport, a division of Treger Products.”

The workers alleged that group human resources manager Bekezela Mangena was calling them individually and forcing them to sign “an illegally executed document” that was crafted to put all permanent workers out of work.

“He (Mangena) goes on to say if you don’t sign you’ll not be allowed into the company premises the following day. He says the company is prepared to go to court. We’ve the recorded evidence of those conversations,” fumed another worker.

The workers demanded that the company follows proper procedures through their national employment council or trade union if it was genuine about retrenching.

“In view of the situation in the company as explained at the meeting, you’ll be paid three months’ basic salary in lieu of notice. As at today’s date, you’ve . . . leave days to your credit. The company shall pay you cash-in-lieu of these days. Where according to our records, you’re above 55 years of age, you’re entitled to early retirement in terms of the pension fund rules,” read a part of the document given to workers, a copy of which was shown to Chronicle Business.

“The company shall support you in this regard in order that you enjoy benefits of early retirement as provided for in the pension fund rules.”

In the same document the company pledges to pay retrenched workers a severance package equivalent to three months basic wage/salary. The document further states that: “Over all the above, the company also gives you an undertaking for the benefit of first refusal in the event of the arising need to take people on fixed term contract basis.

“Please understand that this undertaking by the company is subject to the area in which extra hands are required and also the number of people required. Your exercising of the right of first refusal in terms of this undertaking is therefore not automatic.”

Shamrock transport division general manager Noach Russel declined to comment and referred all questions to Mangena who could not be reached on his mobile phone.

An employee, whose employment contract was terminated, said they were not sure of the actual number of affected workers but put the estimate at 10.

He said the retrenchment exercise was targeting both contract and permanent employees.

“We’re told that even if you don’t sign the termination of employment document that’ll not save any purpose as you’ll still be laid off,” he said.

The workers said they were not sure if their company had proved to the government that retrenching was the only option.

Public Service Labour and Social Welfare Minister Prisca Mupfumira recently said the government would investigate suspected irregular practice in the manner some firms were conducting their retrenchments in a bid to stamp out indiscriminate job cuts.

She said businesses would be required to first demonstrate that they have done everything possible to ensure viability before resorting to job cuts. The Chronicle