The Herald (Harare)
Published by the government of Zimbabwe

Zimbabwe: ZCTU Seeks to Support SMM's Application

9 November 2009


Harare — THe Zimbabwe Congress of Trade Unions has applied to be part of an application by SMM Holdings and its parent firm Africa Resources Limited challenging the constitutionality of the Reconstruction of State-indebted Insolvent Companies' Act.

The SMM case had been set for last Thursday in the Supreme Court, but Chief Justice Godfrey Chidyausiku indefinitely deferred the hearing after ZCTU filed their jointer application at the last minute.

ZCTU, who are representing the workers at Shabanie Mine, argued that the Government should have consulted the workers on the reconstruction of the premises and that the trade union should join their employer as an applicant in the matter.

In an affidavit, ZCTU Secretary- General, Mr Wellington Chibebe, submitted that the workers were an important stakeholder and they had a right to be informed of the developments at the company.

"Shabanie Mine employees are interested in the case in that the main application concerns SMM Holdings, a company which the employees work for.

"The applicant (ZCTU) has a direct and substantial interest which unfortunately was done without making specific reference to and inclusion of the workers especially as regards their right to information concerning the status of their employer.

"With all due respect, SMM Holdings employees are an important stakeholder in all the affairs of their employer," he said.

Mr Chibebe added that for the past nine months the workers had not received their salaries.

On September 6 2004, SMM Holdings was placed under reconstruction by the Minister of Justice and Legal Affairs in terms of the Presidential Powers (Temporary Measures) Reconstruction of State-Indebted Insolvent Companies Act.

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The control and management of the firm was removed from SMM Holdings and placed under the administration of Mr Arafas Gwaradzimba.

In the main application, the asbestos mining firm owned by South African-based businessman Mr Mutumwa Mawere, is challenging the reconstruction regulation in the superior court on the basis that they were not accorded a chance to argue.

They are seeking an order declaring the reconstruction regulations to be in contravention of some sections of the Constitution of Zimbabwe.

The Constitutional Court needs more time to go through the joint application by the ZCTU and other parties who were still filing their respective applications.

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