Union Says OK Zimbabwe Salary Suspension Violates Labour Law

The Commercial Workers Union of Zimbabwe (CWUZ) has condemned OK Zimbabwe Limited’s decision to suspend workers’ salaries, and described the move as “exploitative and unlawful”. Over the weekend, OK Zimbabwe Limited announced that all salaries and wages had been suspended with immediate effect after a resolution was adopted at its Joint Works Council meeting last

Union Says OK Zimbabwe Salary Suspension Violates Labour Law

The Commercial Workers Union of Zimbabwe (CWUZ) has condemned OK Zimbabwe Limited’s decision to suspend workers’ salaries, and described the move as “exploitative and unlawful”.

Over the weekend, OK Zimbabwe Limited announced that all salaries and wages had been suspended with immediate effect after a resolution was adopted at its Joint Works Council meeting last Friday.

Speaking to NewZimbabwe.com, CWUZ Secretary General Cuthbert Chikwekwete said the salary suspension violated labour laws.

“The arrangement is a direct violation of the Labour Act [Chapter 28:01], which makes it clear that collective bargaining agreements shall not come into effect outside wide consultations, a voting process which requires 50% of workers’ approval plus the consent of the employees, who in this case are represented by the trade unions,” he said.

Chikwekwete said that, although CWUZ is the largest workers’ representative body in the sector, the union was never consulted.

He also questioned the legitimacy of National Workers Committee chairman Givemore Dondo, arguing that his term of office had already expired.

“He is not the legitimate leader (Dondo). Even if he were still in office, his signature alone, outside due process, can never subject workers to this slave-like arrangement.

Chikwekwete questioned how workers, who are still commuting to work and have household expenses, would be able to keep up with pension contributions.

OK Zimbabwe has been grappling with severe financial challenges. In the 11 months to February 2026, the retailer’s revenue plunged from US$245 million to just US$40 million, while units sold dropped sharply from 208 million to 32 million.

The company also reported current liabilities of US$38.7 million against only US$12.8 million in current assets, leaving it unable to meet its financial obligations.