The Ministry of Labour and Social Security has announced that 95 workers declared redundant at Young Phiroz General Dealers, will receive their redundancy packages by May 12, 2025.
The workers were declared redundant after refusing to sign newly introduced contracts that had been altered by their employer.
As a result, they filed a complaint with the Ministry, demanding payment for their previous contracts prior to the proposed changes.
Ministry of Labour and Social Security, Principal Public Relations Officer, Mwaka Ndawa, explained that the dispute was brought to the Ministry’s attention about three weeks ago, prompting an official intervention.
“To protect the rights of the workers, Young Phiroz General Dealers was summoned, and a meeting was held with the affected employees and the Ministry provided guidance in line with the Employment Code Act, which requires an employer to seek consent from employees when altering written contracts,” said Ms. Ndawa in a statement issued to RCV News in Lusaka today.
She disclosed that the Ministry computed the total redundancy package to be K1,128,590.87, and the company committed to settling the amount in three instalments.
The first instalment, amounting to K545,274.43, was paid on April 12, 2025.
Ms. Ndawa added that all workers with outstanding dues below K9,000 have been fully paid, while those owed more than K10,000 will receive their payments in two instalments, the first being K5,000, with the balance to be cleared in the final payment scheduled before the May 12 deadline.
She also said that the affected workers will be enrolled in a mentorship program under the newly introduced Productivity Clinic by the National Productivity Development Department (NPDD), aimed at supporting them in transitioning to new livelihood opportunities.
Angel Kasabo