Source: The Herald – Breaking news.
Minister Edgar Moyo 
Business Reporter
MORE than 2 200 workers at Rio Zim Limited have gone for five months without pay and the Zimbabwe Diamond and Allied Minerals Workers Union has urgently appealed to the Government for intervention in the escalating wage challenges.
Rio Zim is listed on the Zimbabwe Stock exchange and had interests in gold, coal, and diamonds.
In a letter dated April 1 to Minister of Public Service, Labour and Social Welfare Edgar Moyo, union general secretary Mr Justice Chinhema said employees of the once-thriving mining company have been rendered destitute and require assistance from Government social welfare programmes.
RioZim’s major assets include the Cam and Motor gold mine in Kadoma, formerly one of Zimbabwe’s largest gold mines, as well as interests in Murowa Diamonds and substantial coal deposits in Sengwa.
“We are writing to urgently bring to your attention the dire situation faced by the employees…who have been without a salary for the past five months,” said Mr Chinhema.
“This prolonged period of unpaid wages has created a humanitarian crisis affecting workers and their families, leading to severe financial hardship and emotional distress.”
As of 2023, RioZim employed 2 267 people, including 1 347 permanent staff and 920 fixed-term contract workers, making it a significant employer in the country.
Mr Chinhema said workers are struggling to meet basic needs, such as providing meals for their families, paying children’s school fees, including examination fees for those taking national exams, and covering rent.
He noted that the company has repeatedly extended unpaid leave for workers, offering little hope for a resolution.
The latest communication to shareholders, a cautionary announcement on March 6 this year, indicated RioZim’s financial and operational challenges, adding that the company was in the final stages of negotiations with a potential lender.
“A month has lapsed since this announcement, and workers do not see light in all these statements,” he said.
“We believe Government intervention is critical at this juncture. We urge you to prioritise this matter and advocate the welfare of these workers by facilitating urgent assistance through the Department of Social Welfare in the form of financial payments and basic food hampers, and facilitate dialogue with the company and its shareholders.”
In its statement on March 6, RioZim confirmed ongoing financial and operational difficulties, stating that it was nearing the end of negotiations with a potential lender, which they anticipate will resolve ongoing challenges.
The company also indicated that major shareholders were in the final stages of talks with an investor for the sale of majority shares, contingent on due diligence, agreement signings, and regulatory approvals.
Upon completion, the investor will make a mandatory offer to minority shareholders.
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