2013-10-10

as economic analysts describe demand as  “unrealistic”

In a bid to restore the teaching profession to its once reputable position, Zimbabwe Teachers Association has appealed to the new government for a salary increment of over 300%.

Speaking at World Teachers Day commemoration, Zimta Manicaland chairperson Mr Ngaite Ndanga said there was need for value to be attached to the teaching profession again.

Rallying under the punch statement “Teachers Mattter”, Ndanga called on the newly elected government to urgently restore the education sector to its glory days.

The restoration he said, can only be achieved by a salary increment from the new government led by His Excellency President Robert Mugabe.

After being re-elected through the July 31 harmonised elections, President Mugabe through his cabinet ministers had pledged to fulfill the needs of civil workers by saying that they would work towards job creation and salary increment by the end of the year.

The Zimta boss said that current salary levels for teachers D1 grade should be raised from USD230 to USD690 excluding allowances. He added that the salary would then be USD988 inclusive of transport and housing allowances.

“We rooted our arguments in the commitment made by His Excellency the President of the Republic of Zimbabwe that Government should be concerned with the welfare of Civil Servants. Our point was to raise the current salary levels for teacher D1 grade from USD230 to USD690 excluding allowances.”

“Our estimate is that a reasonably remunerated teacher’s salary should be pegged at USD988,” he said.

However, economic analysts consulted by this reporter described the demand as exorbitant, retrogressive and unfair.

In a telephone interview with ZimEye, Henry Nemaire an economist said the statements made by the teaching fraternity is detrimental to the country’s current economic situation.

“In full regard of the current economic situation, the country is not ready to spend such money on salaries as the economy is still in recovery mode,” he said.

Nemaire added that an increase of that magnitude would have a pendulum effect on the public and private sector and possibly lead to economic anarchy.

He said that traditionally, the private sector has always had a marginally higher capital wage rate than the public sector and such an occurrence would result in private sector employees also demanding a salary increase to counter that of the teachers who fall in the civil servant bracket.

He explained that this happenstance would eventually lead to a ballooning of prices of basic commodities and other essentialities.

He cited that an increase of such levels could only be plausible if the industry is functioning at 100% capacity.

“The industry is only functioning at 39,6% so far this year, which is a slump from last year’s figure of 57%,” said Nemaire.

Nemaire’s sentiments were echoed by Mr Pardon Mutasa an economist who said the demand is abusive towards a government that is still in its primary stage of establishment.

“Whilst they are justified in calling for a salary increment, it is too high and inconsiderate of them in view of the economic situation that is prevailing in the country, “said Mutasa.

“Last year the Zimbabwean economy had a growth of 5% but the GDP is stagnant right now therefore until the industry normalizes, such demands will always remain illogical, “added Mutasa.

Beyond the Enclave co-author and developmental economist Prosper Chitambara also weighed in on the issue by saying that whilst the demanded salary is logical given the prices of basic commodities, it is unsustainable.

He said that the government must be in close consultation over issues to do with salaries increments before making promises to the civil society that cheerlead such demands.

“Currently, the government is not drawing in much revenue if the state of the industry is anything to go by therefore, whilst I believe that it is capable of paying teachers the money that they are demanding, I don’t think it is very sustainable,”

Chitambara also took a swipe at the government revenue generating system and said there was a need for it to improve. He also said the corporate sector should be providing the main source of revenue given the fact that it is striving in such economically unfavourable conditions.

“There is an error within the taxing system of the country which is milking the very same civil society which is asking for salary increments. A change in direction would do wonders for them as there is great potential in generating revenue from the corporate.”

“Fiscal revenues come largely from the corporate sector and this is what the government must exploit in order to match the demands of their workers,” he said.

He also bemoaned the lack of significant revenue comeback from the mining sector that has been the backbone of the country’s economy for the past three years.

This disappointment he said, stems from the flawed taxing system which he said is based on royalties rather than on a well structured mineral revenue tax system.

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