High Court Orders Renco Workers to Return to Work
The High Court has ordered workers at Renco Mine to return to work, ruling that their industrial action was unlawful. The decision followed a court case initiated by Rio Zim, the mine’s parent company, over the workers’ strike, which stemmed from unresolved salary disputes.
By Ryan Chigoche
More than 1,200 workers at Renco Mine have been on strike since October 9, demanding payment of outstanding salaries that have not been settled since July. The workers had previously dissolved their internal Workers Council, citing its ineffectiveness in addressing their grievances.
The workers had insisted that all overdue salaries from July onwards be paid in full before they returned to work. However, the High Court’s ruling, reached by consent of both parties, ordered an end to the “unlawful” job action and stipulated that the company must pay all outstanding salaries by December 10, 2024.
- Termination of Unlawful Action
The court ordered an immediate end to the unlawful collective job action by the workers. - Payment of Salary Arrears
Rio Zim was directed to pay the workers’ outstanding salaries (both in Zimbabwean dollars and USD) according to the following schedule:Trending- US$50.00 to each worker on November 1, 2024
- US$50.00 to each worker on November 8, 2024
- The remaining arrears to be paid in full by December 10, 2024.
- Return to Work
The workers were ordered to resume work no later than Saturday, November 2, 2024. - No Disciplinary Action
The company was prohibited from taking any disciplinary action against the workers in connection with the unlawful industrial action. - Legal Costs
Each party was ordered to bear its own legal costs.
The court’s decision came after Rio Zim applied to the Ministry of Labour for a Show Cause order, arguing that the sit-in was unlawful. The company claimed that the workers had failed to follow proper procedures, including notifying key union bodies such as the Associated Mine Workers of Zimbabwe and the Zimbabwe Diamond and Allied Minerals Workers Union.
In response, the workers argued that Rio Zim had ignored their legitimate concerns and failed in its legal, moral, and economic obligations to pay them on time and in full. They also contended that Rio Zim’s application was flawed, as it failed to identify individual workers by name, instead referring to them collectively as “Renco Mine Workers.”
During the strike, Rio Zim claims it lost 13 days of production, resulting in daily gold losses of approximately 1.01 kg, totalling over US$1,051,000 in lost revenue. The company attributed its failure to pay wages on time to these production losses, further complicating the ongoing labour dispute.
Since April 1, 2021, workers have staged annual strikes over salary disputes. In 2022, Rio Zim received a $19 billion capital injection from shareholders to stabilize operations, but workers continue to face irregular salary payments and ongoing financial hardships.
The wage dispute underscores persistent financial challenges within Rio Zim’s operations, despite attempts to revitalize the company.