MINUTES OF THE WORKS COUNCIL MEETING HELD ON 12 MAY 2022 IN THE

ACZ BOARD ROOM AT 1400hrs: ROBERT GABRIEL MUGABE INTERNATIONAL

AIRPORT

Present

Mr. P. Dewa - Chairperson

Mrs. S Muza - Management Representative
Mr. V. Shava - Management Representative
Mr. S.K Kajese - Management Representative
Mr. C. Kamwemba - Management Representative
Mr. G. Chimoto - Management Representative
Mr. E. Murungweni - Management Representative
Mr. D. Nyekete - Management Representative
Mr. R Masawi - Management Representative
Mr. L. Maganda - Employee Representative
Mr. M. Musvaba - Employee Representative
Ms. S. Makunike - Employee Representative
Mr. F. Mutungwazi - Employee Representative
Ms. G Chingaira - Employee Representative
Mr. M Choto - Employee Representative
Mr. T Matereke - Employee Representative
Mr. V Chiyangwa - Employee Representative
Ms. C Nyamazana - Employee Representative
Mr. A. Mwale -Employee Representative
Ms. D. Murinda -Secretariat
Ms. H Marabada - Recording Secretary

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Item DELIBERATIONS Action By

Opening Prayer
1.0
The meeting was opened with a word of prayer from Mr. Maganda.

Apologies
2.0
There was an apology from Engineer Makova who was away on business.
Adoption of the Agenda
3.0
Two items were included on the agenda as follows:
1. Payment of Travel and Subsistence in USD.
2. Adoption of 60% & 40% salaries in USD and RTGS.

Works Council Constitution

Works Council constitution was also missed on the agenda. The A/HRM informed
the house that currently there is no Works Council constitution in place for the ACZ,
however HR was in the process of crafting one. The draft document was to be
circulated to both parties for contributions before adoption by the third quarters’
works council meeting.
The works council constitution was the guiding document in the event of deadlocks
or any issues arising from the meetings.
The house was advised that in the absence of the works council constitution, the
provisions of the Labour Act Chapter 28:01 and its amendments supersede all
proceedings, everything being discussed in works council meetings was binding.

AGENDA ITEMS
The following agenda items were adopted:
1. Opening prayer
2. Apologies
3. Chairpersons’ remarks
4. Business performance
5. Updates

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 6. Works council calendar for the year 2022
7. Adoption of 60%/40% salaries in USD and RTGS
8. Payment of Travel and Subsistence in USD.
9. Salary review
10. Review of cushioning allowance
11. Medical aid paid in USD
12. Medical aid for retirees
13. Payment of overtime
14. Pay days on school opening months
15. Job Evaluation exercise
16. Travel and Subsistence payment in USD
17. Encashment of leave days without going on leave

Adoption of the Agenda

The agenda was proposed by Ms Nyamazana and was seconded by Mr Chimoto.

Chairman’s Opening Remarks

3.1
Ground rules for the meeting were set as follows:
3. Cell phones to be on silent.
4. One person speaking at a time-through the Chair.

The Chairman called the house to order, all members present were welcomed to the
meeting and self-introductions were done. This being the Inaugural meeting as the
ACZ (Pvt) Ltd, emphasis was made on the need to adopt a new culture with a
different approach. The meetings were to be participative by being more involving
in discussions and solving issues together as a team to take the Organisation to a
higher level. The elements of transparency, democracy was of importance in these
meetings. There was generally need to change certain ways of operating, the
Chairperson emphasised that change starts with us as individuals.

5.
6. place for the ACZ, however HR was in the process of crafting one. The draft

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 document was to be circulated to both parties for contributions before
adoption by the third quarters’ works council meeting.
7. The works council constitution was the guiding document in the event of
deadlocks or any issues arising from the meetings.
8. The house was advised that in the absence of the works council constitution,
the provisions of the Labour Act Chapter 28:01 and its amendments
supersede all proceedings, everything being discussed in works council
meetings was binding.

4.0 Business Performance

The A/Finance Manager Mr Nyekete presented a report for the period 01 February
2022 to 31 March 2022. He highlighted that the 2019 financials were used for
comparison as it was a stable year in terms of business performance.

The Workers Representatives requested to have the financial report indicating

business performance circulated to the works council before the meeting, for
appreciation by Workers Representatives for deliberation purposes. The house
agreed that the financial report was to be attached together with minutes of the
previous meeting in preparation for the next works council meeting.

Worker’s representatives also requested to get financials periodically (quarterly) for

analysis purposes. Management highlighted that financial statements were
Organisational security items and could only be dispatched for the purposes of
works council meetings as their use will be justifiable. If the employees feel that the
financial figures being presented in works council meetings have been distorted at
any given point in time then the issuance of the financials could be reviewed for
transparency purposes.

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Matters arising from the financial presentation

The A/Finance Manager clarified why the financials were presented in RTGS and
not in USD. He elaborated that finance is bound by International Finance Reporting
Standards which require financial statements to be presented using the country’s’
local currency, in this case being the ZWL$ even when collecting revenue in USD.

The Workers Representatives observed that there was a negative variance on rentals
and sought clarity. Management responded that budgets for the ensuing year are
prepared in October during the previous year, these mainly focus on projected
revenue to be collected based on the uptake of all space available for renting.
Practically, some space may not be taken resulting in discrepancies in the budgets
versus the actual revenue collected for rentals hence the negative variance.

The Covid period had impacted negatively, as some tenants were hardly struck
resulting in termination of contracts due to low business outputs, forcing tenants to
surrender their contracts. Some rentals were billed in USD and yet collected in
ZWL$ therefore resulting in negative variances.

The Workers Representatives requested for future presentations to include the

foreign currency component on business performance. Presentations should give a
highlight of workers welfare in terms of assets, bank balances, as it has a bearing on
discussions. They also perpetuated on the issue of the presentation which was not
current, they requested for next meeting to be current.

Management took into cognisance the request in order to accomplish meeting

objectives and to make informed decisions,

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5.0 Updates

Management updated the Workers Representatives on recruitment of Executives.

They conducted interviews in November 2021 and the Ministry has to give approval
to appoint successful candidates.

Vacant Managerial positions

The Committee was advised that there were 10 Managerial vacant positions. The
company was in the process of engaging a consultant to assist ACZ in the
recruitment process. The vacant positions were as follows:

a) APM- RGMIA
b) Legal Manager
c) Chief Fire Officer
d)Maintenance Manager
e) Human Resources Manager
f) Training and Development Manager
g) Finance Manager
h) Duty Manager RGMIA
i) Duty Manager VFIA
j) Duty Manager JM

ACZ Branding
The Committee was informed that Airports branding was in progress.

Procurement of the ACZ Corporate uniforms was also in progress. The house was
informed that neck ties, scarfs, 2 shirts and 2 blouses have been procured for each
staff qualifying for corporate uniform as a stop gap measure whilst awaiting tender
process for procuring the new ACZ Corporate uniforms.

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 Workers Representatives commented that the procurement process was delaying and
2 shirts were not enough for ACZ employees to be visible. They requested to
consider procuring two more shirts and blouses for staff members.

Management clarified that the 2 shirts/ 2 blouses were a stop gap measure whilst
awaiting completion of the tender process. Procuring addidtional batch of
shirts/blouses would constitute tender splitting and flouting the PRAZ regulations
hence the need to wait for the tender process to complete. There was consensus to
have charcoal grey as the main corporate colour whilst Fire and Avsec maintain
their navy blue and black colours.

Procurement of Vehicles
Management updated the house about procurement of 38 vehicles comprising of
minibuses, pool vehicles and for Executives.
Mortgage facility for staff members
The Council was informed that it was Managements’ desire to have every staff
member owning a decent house. The company is engaging banks and Building
Societies for mortgage loans to staff members. So far there were three banks that
had submitted their proposals which management is going through them to adopt the
best mortgage scheme.
Pension Fund
There was a suggestion for ACZ to have its own separate pension fund.
Airports Projects
Eng. Makova was to present to give an update on Airports projects.

6.0 Works Council Meetings Calendar for the year 2022

The draft calendar was adopted. The Works Council dates are as follows:
18 August 2022 and 10 November 2022.

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6.0 60% USD$-40%ZWL$ Salary Adoption

Workers Representatives requested to know managements’ position on

implementation of the 60/40 USD/ZWL$ on employees’ salaries. Management
adopted the 50/50 interim measure before the Boards’ approval of 60/40.

Worker’s representatives raised concerns over managements’ failure to be

transparent on paying 60/40 and the 65% NEC award backdated to April 2022.
Workers mentioned that they had been advised from the CEO’s office that the 60/40
was to be implemented with effect from the May payroll and they had n turn
communicated the position with the rest of the staff members.

Management highlighted that a board paper had been submitted proposing adoption
of either 50/50, 60/40 or 70/30 scenario on USD/ZWL$ respectively. The Finance
committee and HR Committee had made recommendations to the main board. The
Company was still waiting for approval on which scenario to implement. The 50/50
scenario was approved as an interim measure to be implemented before approval of
any of the three proposed scenarios.

The Workers Representatives felt that the culture of dishonesty was creeping in very
fast and it was sad as it dents the new path that was being developed. The National
Chairperson highlighted that in a conversation he had had with the CEO on 28 April
2022 he had been informed that in the month of May 2022, employees’ salaries were
to be split 60/40 backdated to April 2022. Management indicated that it was not
aware of this development.
The Council was informed that there was no approval from the Minister to the
Board as of now, with the pay day only a few days to come. May 2022 salaries
were to be paid using old basic salaries and as soon as the board approval is sought,
a special pay roll shall be run for the approved scenario.

The Workers Representatives requested for the CEO to come to the meeting to

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clarify on the Matter as there seemed to be some disagreement with management
position. A text message was sent to Mr Gusha who was out of the country by one
management representative with the following content, “Hi l am in a meeting with
workers issue of 60/40 is topical what is the position” This pertains to May salary
payment. The CEOS response was “Talk to Mr Ndlovu on that one”

The Acting CEO Mr Ndlovu’s presence was requested in the meeting.

The Acting CEO Mr L.W Ndlovu informed the meeting, that the matter of basic
salary split into USD and ZWL$ was taken to the HR committee with various
models and highlights of the impact of these on cash flows. The following scenario
were forwarded for consideration, 50%/50%, 60%/40%,70%/30% and 80%/20%.
The Finance committee had settled for 50%/50% on net salaries as an interim
measure pending Board approval. A Board meeting had been held in the previous
week, they had sought policy direction from the Ministry on the scenario to be
adopted for implementation. The Minister was yet to respond highlighting the
Ministry’s’ direction, for now the interim measure from the Finance committee was
prevailing.

The Workers Representatives appreciated the update and proposed to adopt the
CEOs position of 28 April 2022 as had been given to the employees in order for him
to be entrusted by workers and also to protect his status.

Management representatives highlighted that there was need to wait for the boards’
approval before implementing any position. Management representatives indicated
that the issue under discussion touches the heart of management, it is of concern and
they appealed to the Workers Representatives to know that a lot of discussions were
taking place with regards to employees’ welfare.

The Workers Representatives requested to consider adoption of the 60%/40%

position for the month of May as an interim, whilst waiting for the submissions to
the Ministry to be approved.

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 Management responded that the CEO derives authority from the Board, the Ministry
can come back any time with a position, since they are aware that it’s an urgent
issue.

The Workers Representatives felt that there was some dishonesty and Management
was hiding behind the Ministry, the platform was meant for both parties to
understand each other. The differing positions being presented were not fair and as
Workers Representatives they emphasized that they could not go back with the50/50
scenario to the constituency as they had advised staff of the 60%/40% position as
per the CEO’s update.

The A/CEO undertook to engage the HR and Finance committee about the
60%/40% position and hear their position and to seek guidance by 13 May 2022.

The Workers Representatives elaborated that the employees were anticipating the
implementation of the 60%/40% on the 16 May 2022 salaries. The challenge was
that there was no communication on the position for May salaries, the 50/50 position
was not to be accepted. There was need for formal communication to be done with
regards to the Organisations’ position on May salaries.

The A/CEO was excused from the meeting.

The meeting adjourned for 10 minutes at 1650hrs.

7.0 Salary review

Worker’s representatives presented that worker had received a NEC award of 65%
which was much appreciated. A request was made to management to intervene and
consider an additional salary increment on top of the 65% NEC award which was
the minimum in the air industry. They pleaded with Management to consider
removing employees from the tail, or minimum and consider awarding an

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increment.

Management requested the Workers Representatives to make their submissions

clearly presenting their full proposal for implementation.
The Worker representatives proposed an additional 150% salary increment from
Management above the 65% NEC award.

Management requested for the A/Finance Manager to do number crunching, to

assess the implication of the 150% on Organisational performance. Management
requested to know how the workers had arrived at 150%, was it thumb sucked,
emphasis was made on the proposal to have a build up as to how they would have
arrived at the figure for justification purposes.

The Workers Representatives highlighted that they had the least paid employee in
mind to live decently. Currently the least paid was getting ZWL$36 000, plus the
65% taking them to $46 000 after taxes on net salary. Workers were of the
contention that the least paid should be at least around ZWL$100,000.00
considering that basic commodities had sky rocketed with a bottle of cooking oil
bottle costing USD$5. The 150% had taken into effect the 60%/40% scenario,
implying that with the latest development the percentage could be more when basing
on the current 50%/50% scenario.

Management submitted that adoption of the 150% becomes unsustainable on the

staff costs resulting in wrong decisions being made. There is need to hear the
outcome on the 60%/40% proposal in order to have a basis for the discussion.

Workers Representatives intended for lowest paid to be decently paid the 60/40
scenario was used as the basis if we agree on 60%/40% and 150% there is no need
to request for review of cushioning allowance. Agenda Items 7, 8 and 9 were
interrelated once others are solved others fall off. Workers Representatives clearly
indicated that the percentage increment will be dependent on the scenario approved
for adoption; in the event that a more favourable scenario is adopted the percentage

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 increment will also be minimal.

Worker’s representatives requested locking the exchange rate as at 01 April 2022 if

awarded 60/40 in order to preserve value of the take at home on the employee’s
side. This position was adopted by management for implementation.
Management gave a scenario on the Finance turnover for March 2022 were at
ZWL$l83 mill equivalent to USD1.7 mill the 150% increment will be ZWL$ 407
mill above turnover in USD 2mill 557 against 1.7 turnover converted at date of
invoicing rate.

The Workers Representatives presented their plea to give value to the employee and
not to milk the cow in the process; they requested to at least consider the USD
component on salary increment to maintain value of money.

Management commented that the 150% was rather too high and impacting
negatively on the performance of the organisation.

Worker’s representatives concluded that if awarded the 60/40 USD/ZWL$

component then the 150% increment would definitely go down. On salary it was
agreed to lock rate at April rate of $142.42 as at 30 March 2022.

8.0 Review of cushioning allowance

The agenda item was put on hold pending the approval on the USD/ZWL$ salary
component.

9.0 Medical Aid paid in USD

Management presented a proposal had been done to the Board to consider payment
of medical aid contributions in USD.

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10.0 Medical Aid for retirees

Workers Representative proposed that the Organisation caters for retirees’ medical
aid. A proposal was made that employees can contribute towards medical for
example 1% of salary going towards funding medical aid for retirees then the
Organisation also contributes a certain amount towards the cause.
Management representatives tasked the workers to do the position paper, the idea
was great, and reference was to be made to other organisations especially parastatals
clearly highlighting what they have in place. Management was also going to input
on the position paper.

11.0 Payment of overtime

Worker’s representative requested to review the position adopted from CAAZ of

converting overtime hours into extra vacation leave days and paying 50% in
monetary terms. A request was made to consider paying 100% cash for overtime
hours accrued. A request was also made to consider adopting the USD component.
Staff members have accrued many extra vacations leave days, the Organisation
should consider paying extra vacation leave days and start on a fresh page.

Management responded that the best solution is to recruit and fill up all vacant
positions which were the major contributory factor of overtime. In the interim
management was going to do a feasibility study analysis on overtime with HR,
Finance and a Worker representative. There was need to adopt a closed approach on
overtime in order to manage finances, it was agreed that the A/HR Manager was to
coordinate the meeting by these parties soon after the May 2022 pay-run.

Workers requested to know how extra vacation leave days already accrued were to
be treated, recruitment might take months and yet there is need to recognise those
with extra vacation days and pay their monies in cash as they are carrying the
burden by covering for vacancies created by those going for greener pastures.

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 Management responded that the way forward had to be agreed on after the
feasibility analysis.

12.0 Paydays on school opening months

Workers Representatives requested for pay dates to be moved closer to school

opening dates. Management responded that the school calendar was affected by
Covid19 and we no longer have structured school terms and opening dates.
Management will adjust pay dates so that they are close to school opening dates.

A proposal was also presented to consider school fees allowances for school
opening months as salaries were not enough to sustain payment of fees. School fees
allowance were to be deliberated on

13.0 Job Evaluation Exercise

Management informed the house on the invitation for tenders for a Job Evaluation
exercise, the tender invitation was closing on 13 May 2022, after which the PMU
shall conduct a competitive schedule to identify the suitable consultant for the
exercise. The exercise was to aid in having an equitable pay structure in place, an
equitable grading system resulting in closed salary gaps thereby impacting on the
salary structure.

The evaluation process was to involve workers; the suppliers’ submission on tender
documents will highlight time lines for the completion the exercise.

Workers requested that the shareholder needed to investigate the job evaluation
process so that management does not interfere with results from the exercise.

Management mentioned that we learn from experience, the organisation had started

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 on a new and clean page. The intention was to publish results without alterations or
interferences. Committee were to be set up, with equal representation of
management and workers for transparency and cost cutting from repeated processes.

15.0 Encashment of leave days without going on leave

Workers Representatives requested for the company to be lenient on encashment

and allow encashment of leave days only without going on leave as part of ACZ
policy.

Management approved encashment of 30 days without going on leave, any days

above 30 days the employee will be required to take some vacation leave days and
proceed on leave.

The HR department was to work with departmental heads and APMS to consolidate
a list of those who intend to encash in order to determine financial impact of the
encashments.

Worker’s representatives asked if it was possible for the days to be paid in USD,
since encashment was to be limited to only 30 days a year per employee?

Management responded that there was need to deal with one issue at a time, the
issue of payment was to be agreed on once the final USD/ZWL$ component has
been adopted

16.0 Travel and Subsistence

Workers Representatives presented the need to consider paying Travel and

Subsistence allowance in USD. It was presented that it has become a burden to the
worker to stay out of hotel if they receive their allowances using the auction rate.
Service providers require USD when paying hotel accommodation had a negative
impact as it raises staff costs. A suggestion was made for the company to meet the

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employees, half way and consider adopting the USD element on T and S, a scenario
which also preserves the dignity of employees in the society.

Management highlighted that the proposal was to be finalized between Finance and
HR upon finalization of the USD to ZWL salary split.
Management also indicated that consultations were done to consider paying in USD,
the position is that there is a circular from the Ministry directing that all T and S
should be paid in local currency.

The Workers Representatives requested to know how their counterparts from CAAZ
were paying in USD. The response was that CAAZ had packaged all staff costs to
be paid in USD, as soon as ministry approval comes its part of the package of staff
costs.

ANY OTHER BUSINESS

The Council agreed to give the A/CEO time to hear from the board and meet as soon
as possible to deliberate on the outstanding agenda items.

Worker’s representatives proposed that $150USD cushioning allowance to be

implemented whilst awaiting the Ministry’s’ approval.

Management indicated that the proposal still has to go through the approval process
through the Board. Once we have received a response and if it is positive on the
60%/40% there is no need to meet, Workers were to do a paper on salary review for
approval once the 60%/40% is granted.

Worker’s representatives emphasized on the need to prioritize the employees’

predicament and to take their needs into consideration with seriousness as the social
aspect of employees was being affected.

Management presented their desire for the issue to be concluded, everyone felt the

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same, therefore the best was to be done to ensure that the matter is concluded at its
earliest possible time.

Closing

There being no other business to discuss, the meeting was closed at 20:40pm with a
prayer from Mr. Maganda.

RECONVENING OF WORKS COUNCIL MEETING HELD ON 16 MAY

2022 AT 1000AM
Present
Mr. D. Kanyandu - Chairperson
Mrs. S Muza - Management Representative
Mr. V. Shava - Management Representative
Mr. S.K Kajese - Management Representative
Mr. C. Kamwemba - Management Representative
Mr. G. Chimoto - Management Representative
Mr. D. Nyekete - Management Representative
Mr. L. Maganda - Employee Representative
Mr. M. Musvaba - Employee Representative
Ms. S. Makunike - Employee Representative
Mr. F. Mutungwazi - Employee Representative
Ms. G Chingaira - Employee Representative
Mr. M Choto - Employee Representative
Ms. C Nyamazana - Employee Representative
Mr. A. Mwale -Employee Representative
Ms. D. Murinda -Secretariat

The meeting started with an opening prayer from Mr Maganda.

Apologies
Mr Dewa had returned to J.M. Nkomo Airport for urgent issues.
Mr Masawi had returned to Victoria Falls for urgent issues at his Airport.
Mrs Muza was attending a ZTA meeting.
Mr Murungweni had a presentation at Rainbow Towers for Ministry of Transport.
Mr Victor Chiyangwa was reported to be not feeling well.
Mr Matereke was on duty.

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The Chairperson stated that the meeting was a continuation from the last meeting
held on 12 May 2022. The 2 pending issues were implementation of the NEC award
and payment of salaries partly in USD AND ZWL. Parties were waiting for
feedback from the Board on the 2 issues which were being followed up by
management.

IMPLEMENTATION OF NEC AWARD

The Council was informed that the HR and Remuneration Committee were sitting
for their meeting in the evening 16 May 2022 and make their recommendation to the
full Board. So there was no position that had been made as yet.

Payment of salaries partly in USD and ZWL

The Council was informed that the Minister had responded to the letter were ACZ
was seeking guidance on payment of staff costs and creditors partly in USD and
ZWL. The Minister referred ACZ to seek guidance from the Reserve Bank of
Zimbabwe. The letter was being drafted for onward submission to the RBZ.

The Workers Representatives stated that these issues were urgent and expected
answers immediately as pay date was getting closer without any resolution.
Management informed Workers Representatives that the request to implement the
CBA was sent to the Board before 29 April 2022 and the Board was to sit as they
had other issues.

Interim Measure
The Workers Representatives requested management for an interim measure to
cushion employees. The Council was informed that any salary increment or an
increase in the cushioning allowance required the same process of being approved
by the Board.

Salary Advance to Staff Members

There was a proposal to pay staff members a salary advance to cushion staff

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members whilst waiting for the Board to finalise the 2 issues that were pending
before the Board.

Management was to recommend to the Chief Executive Officer a 90% of one’s basic
salary which was to be paid 50% in USD and 50% in ZWL to be paid by Thursday
19 May 2022.

Salary Review
The Workers Representatives requested for a 150% salary review on top of the NEC
award so that the lowest employee will have a basic salary of $82, 000.00.
The different scenarios were presented as follows:
NEC award only =ZWL 56,000.00
Using the 50%/ 50% ratio = USD482.00 and ZWL27,000.00

150% INCREMENT using the 50%/ 50% ratio

USD517.00 and ZWL32,00.00

150% INCREMENT using the 60%/ 40% ratio

USD477.00 and ZWL17, 920

100% salary increment inclusive of NEC

USD520.00 and ZWL22,000.00

100% salary increment inclusive of NEC using the 70%/ 30%

USD559.00 and ZWL17, 000.00

150% salary increment inclusive of NEC using 80% / 20% ratio

USD608.00 and ZWL19, 500.00

NEC award only using 80% / 20% ratio

USD540.00 and ZWL8, 900.00

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The Workers Representatives requested the company to give an addition increment
on top of the NEC award so that the stakeholders get value.
Management informed the Workers Representatives that what was key was to know
what RBZ was going to recommend and we want the best for our company. So the
Council was asked to wait for the RBZ recommendation and the Board’s final
decision. If there is need for parties to meet after the Board final decision, a meeting
can be organized.

Closing remarks
The Chairman thanked everyone for participating on the Works Council platform
and informed the Council that management was doing their part. We trust you and
we will contine to build our trust and continue to follow formal communication lines
and it will help us shape our company.

Finance department was requested to go around Airports to check an revenue

leakages.
There being no other business, the meeting was closed by a prayer from Ms
Murinda.

Signed …………………………………... Date: ………………………

D. Kanyandu
Works Council Chairman

Signed……………………………………. Date…………………………
G. Chimoto
Management Representative

Signed:……….………………………….. Date: ……...……………………

L. Maganda
National Workers Committee Chairman

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