Meikles workers row takes new twist

Published: 01 November 2013

The dispute between Meikles stores and its employees has taken a new twist following the giant retail company's refusal to adhere to the outcome of the judgment from the National Retrenchment Board.

Meikles Stores has been posting losses since the advent of dollarisation four years ago and in August this year the retail company announced its intention to lay off 55 workers in Harare, Gweru and Mutare. The retrenchment board proposed that Meikles was to pay a 1.5 months' salary per year served which forced the company to challenge the judgment.

Despite the judgment Meikles Stores seems to have changed goal posts by deciding to reinstate the workers in a bid to avoid paying retrenchment packages determined by the board.

Meikles department stores chief executive Mrs Belinda Sharples said Meikles was facing financial challenges and they decided to bring the workers back to work.

"We cannot afford to pay the packages proposed by the retrenchment board because we are facing a liquidity crisis at the moment.

"Our decision to retrench has been reversed by the executive and the company is prepared to carry the costs rather than paying the packages."

In an appeal letter to the judgment from the retrenchment board Meikles stores, stated that they are not prepared to meet the demands of the judgment.

"I am sure you will recall that during the course of the retrenchment board meeting we agreed that if the board chooses to impose packages above what we are ready to offer, Meikles department stores would have no option but to continue to carry to the monthly expenses of excess staff and allocate them to the various business units," read part of the letter.
- herald

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