Collective Bargaining Agreement Chemicals, Fertilisers, Battery, and Plastics Manufacturing Industries

This collective bargaining agreement, signed on 22 June 2023 and deemed effective from 1 January 2023, further amends the industry agreements published in S.I. 31 of 2011, 126 of 2012 and 107 of 2014. It sets separate wage tables for seven sectors, so employers need to find their own sector before reading any figure.

In the pharmaceutical manufacturing sector the new minimums for 1 January to 30 June run from US$275,60 at grade 1 to US$896,24 at grade 10, paid 40 per cent in US dollars and 60 per cent in Zimbabwe dollars at the prevailing bank rate. Housing allowance is US$75 a month and transport US$70 a month based on attendance. Personal care and hair manufacturing follows the same 40/60 structure, from US$190,80 at grade 1 to US$620,47 at grade 10, with US$70 housing and US$70 transport.

Phosphates minimum basic wages rise by 112,22 per cent for January to June 2023, giving a grade 1 minimum of ZWL$245 099,00 and grade 11 of ZWL$1 081 238,33. Explosives wages are set in US dollars instead, from US$250,00 at grade 1 to US$491,79 at grade 11. The US$100 hardship allowance from the August 2020 agreement continues, and applies to phosphates only.

Industrial chemical manufacturing minimums for January to April 2023 run from US$208,00 at grade 1 to US$576,80 at grade 10, benchmarked in US dollars and paid in ZWL at the month's interbank rate, with US$100 housing and US$100 transport. Fertilizers and agro-chemicals move onto a US dollar basis from January to June, US$173,69 at grade 1 to US$542,92 at grade 10, with US$62 housing and US$60 transport. Battery manufacturing runs from US$200,00 at grade 1 to US$690,45 at grade 11, with allowances set company by company — housing US$50 at Central African Batteries and US$70 at Chloride, transport US$30 and US$60 respectively.

Paints and printing inks minimums run US$229,00 to US$619,89 for January to June, and carry a distinctive extra: a cost of living adjustment of 32 per cent above the prevailing interbank rate for May and June 2023 where salaries are paid in Zimbabwe dollars, shown separately on the payslip, with the May minimum rate set at ZWL$1 404,80 as at 17 May 2023. Housing is US$100 cash and transport US$88 cash. Plastic manufacturing runs from US$150,00 at A1 to US$215,72 at B3, converted at the interbank rate of the second Tuesday of the month plus a 5 per cent premium, with a combined housing and transport package of US$120 — US$100 in hard currency from 1 March 2023 and the US$20 balance converted at interbank plus 5 per cent.

The cross-cutting terms matter as much as the tables. NEC levies are 2 per cent of the wage bill (1 per cent employer, 1 per cent employee) for chemicals, fertilisers and battery, remitted within seven days of month end; for plastics it is 1,5 per cent each side, within seven days of pay day. Plastics shift workers other than permanent day workers get a shift allowance of at least 7 per cent of basic actual wage. A service allowance of 1 per cent of basic pay per completed year of continuous service applies. Grade differentials are fixed by sector — 14 per cent pharmaceutical, 16 per cent phosphates, 7 per cent explosives, 12 per cent industrial chemicals, 13,5 per cent fertilizers and agro-chemicals, 10 per cent battery, 12 per cent paints and printing inks. Nothing stops an employer agreeing better terms.