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Gweru budget: Govt orders wage bill cut

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THE ministry of local government, public works and national housing has approved Gweru City Council's $41 million standstill budget with calls to rationalise the salaries which government say are not sustainable.

Town Clerk Elizabeth Gwatipedza said council’s fiscal programme for this year was approved mid-December last year.

"The budget was approved but government expects us to cut on the salary wage bill, which it says is too huge," Gwatipedza told journalists at a press briefing on Wednesday.

The total monthly employee wage bill at the local authority currently stands at $1,3 million with a cash flow averaging $1,5 million.

The standstill 2017 budget has no increase in any of council tariffs in a bid to cushion residents and companies from the harsh economic environment.

"Because of the depressed economic environment, the 2017 budget will be a standstill budget, which shall give emphasis on adopting strict fiscal discipline and a raft of cost cutting measures and revenue enhancement strategies,” finance director Edgar Mwedzi said last year.

"The obtaining difficulties facing residents and all other clients do not favour any slight increase in any of council tariffs, therefore, council will have to be innovative in delivering services at low cost without compromising quality.”


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