Council Ordered To Pay 255K In Backpay And Benefits To Trio Fired Over $2 Cash Error

A rural district council in Zimbabwe has been ordered to pay US$255K in backpay and benefits to trio who they fired over a $2 cash error. The Chikomba Rural District Council has been instructed by the courts to pay a substantial sum in back pay and benefits to three of its former revenue staff members, who were dismissed in 2020 over a cash irregularity amounting to a mere US$2. The council’s subsequent legal challenges have been unsuccessful, leaving local taxpayers to foot a bill exceeding US$255,000 (approximately R4.7 million) and over ZWL$3 million for the ill-fated decision.

The entire saga began when the council accused senior revenue clerk Lawrence Magwiroto, revenue clerk Rosa Chikwama, and revenue collector Martha Mudzana of financial misconduct. The specific charge was “over-mastering and under-mastering” payments collected from ratepayers, an action which the authority claimed had caused a total prejudice of ZWL$50, equivalent to just US$2.50 at the time. Following an internal disciplinary hearing in September 2020, the three employees were found guilty and dismissed from their posts.

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A Lengthy Legal Battle Reaches the Supreme Court

Refusing to accept the outcome, the dismissed workers, represented by the Zimbabwe Rural District Councils Workers Union, took their case through the country’s legal system. They first appealed to the exemptions committee, which startlingly ruled in their favour and commanded the council to reinstate them without any loss of salary or benefits. Unwilling to comply, Chikomba RDC escalated the matter, first to the Labour Court and subsequently to the Supreme Court. The council lost at every single turn, with the courts upholding the decision that the dismissals were unjust.

With their reinstatement legally enforced, the workers then proceeded to claim outstanding salaries, benefits, and union dues dating back to January 2019. The union further contended that even prior to their dismissal, two of the employees had been underpaid according to official government scales. The total claims are staggering: Magwiroto is owed RTGS$1,548,987.53 and US$121,753.60 (approx. R2.2 million); Chikwama is claiming RTGS$1,095,733.23 and US$72,256 (approx. R1.3 million); and Mudzana is demanding RTGS$975,132.81 and US$61,816 (approx. R1.1 million).

Council Ordered To Pay 255K In Backpay And Benefits To Trio Fired Over $2 Cash Error

In the wake of its comprehensive legal defeat, the council attempted an out-of-court settlement in June 2025, offering a package of around US$2,000 to each employee in lieu of reinstatement. This offer was summarily rejected by the workers as derisory. The situation has now drawn the attention of the central government, with Local Government Minister Daniel Garwe issuing a formal directive to the council chairman.

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In a letter dated 30 October 2025, Minister Garwe stated, “The ministry formally instructs Chikomba Rural District Council to comply with the Labour Court’s ruling regarding Mr Lawrence Magwiroto. The court has determined that he must be reinstated following his unjust dismissal.” The minister emphasised the need for prompt action, adding, “It is imperative that Chikomba Rural District Council acts promptly to implement this ruling to uphold justice and maintain the integrity of our governance structures.”

The council now faces the unenviable task of finding hundreds of thousands of dollars to settle a claim that originated from a financial discrepancy smaller than the price of a loaf of bread, a stark lesson in the potential consequences of disciplinary actions and protracted litigation.

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