Mugabe bans mass lay-offs

FILE - In this Friday, Dec, 12, 2014 file photo, Zimbabwean President Robert Mugabe sits after a swearing-in ceremony at State House in Harare, Zimbabwe. African leaders on Friday, Jan. 30, 2015 appointed 90-year-old Zimbabwean President Robert Mugabe, who has ruled his country since 1980, as the new chairman of the 54-nation African Union, succeeding Mauritania's President Mohamed Ould Abdel Aziz. (AP Photo/Tsvangirayi Mukwazhi, File)

FILE - In this Friday, Dec, 12, 2014 file photo, Zimbabwean President Robert Mugabe sits after a swearing-in ceremony at State House in Harare, Zimbabwe. African leaders on Friday, Jan. 30, 2015 appointed 90-year-old Zimbabwean President Robert Mugabe, who has ruled his country since 1980, as the new chairman of the 54-nation African Union, succeeding Mauritania's President Mohamed Ould Abdel Aziz. (AP Photo/Tsvangirayi Mukwazhi, File)

Published Aug 28, 2015

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Harare - Zimbabwean President Robert Mugabe has signed a new law banning mass lay-offs following a spate of redundancies that unions say put 30 000 people out of work, local media reported on Friday.

The Supreme Court ruled last month that employers could fire workers after giving them three months' notice and an equivalent of three months' salary.

Several companies, including top mobile service provider Econet and the state-owned Zimbabwe Broadcasting Corporation, sacked many workers to tackle huge wage bills and rising operational costs.

The Zimbabwe Congress of Trade Unions tried to stage protests in Harare two weeks ago, but police banned the event and briefly arrested union leaders.

Labour unions say more than 30 000 workers have been forced out of jobs in just a few weeks.

The new law compels employers to give notice to workers' representatives and a government board before any redundancies are processed.

Zimbabwe's economy has been on a downward spiral for more than a decade amid slow growth, low liquidity and high unemployment.

Many companies have closed, downsized or relocated to neighbouring countries.

AFP

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