Tongaat Hulett embarks on retrenchment
SUGAR producer, Tongaat Hulett Limited (THL) Zimbabwe, has offered its Triangle workers voluntary termination of work packages as part of a process to “invigorating its human capital capabilities” as it “redefines its future on the back of tough trading conditions”.
In an offer to the workers seen by the Daily News on Sunday, the company chief executive officer Aiden Mhere said employees willing to terminate their work would receive fixed packages and they have up to February 24 to take up the offer.
“The company is, therefore, affording all such employees the opportunity to take up a voluntary termination package on the following terms and conditions: a gratuity equivalent to two weeks pay for every year served of part thereof; retirement bonus 4/30 of total monthly earnings multiplied by service; six months’ severance pay based on current basic plus Cola,” read the offer.
The employees would also receive 12 months medical cover through access to company health facilities or 12 months medical aid contributions equivalent to the Cimas private hospital and relocation allowance of $8 000.
Also on offer is payment of nominal benefits such as salary for the month of February, three months’ salary in lieu of notice and payment of pension benefits in terms of relevant pension fund rules.
“The company is aware that some of its current employees who have put up years of dedicated and loyal service would welcome an opportunity to voluntarily terminate their employment contracts with the company in order to rest or take up entrepreneurial challenge to create wealth through other gainful economic projects,” Mhere said.
“This offer is open to all employees in all grades. The company reserves the right to accept or decline any application at its own sole discretion. All payments shall be taxable in terms of relevant legislation.
“The effective date of the mutual separation shall be March 1, 2020. Employees taking up voluntary separation offers shall surrender all company property in their care before any component of the package can be paid to them.”
Triangle Estates, in particular, is still recovering from the scam exposed by a PricewaterhouseCoopers (PwC) audit report where top bosses overstated assets and profits to meet targets and obtain bonuses while prejudicing the company.
Meanwhile, the embattled group’s South African sugar mill in Darnall is set to close, leaving 400 workers jobless.