Coronavirus in Zimbabwe – ZCTU CALLS FOR A 30 DAY COUNTRY LOCK DOWN
Harare, 26/03/2020 – Jussa (Workers international leagues Zimbabwe)
ZCTU CALLS FOR A 30 DAY COUNTRY LOCK DOWN
The Zimbabwe Congress of Trade Unions (ZCTU) is calling on Zimbabwean workers to IMMEDIATELY stop going to work for the next 30 days in order to stop the spread of the Corona virus.
This follows our earlier calls for the government to place the country under immediate lockdown to minimise the risk of the spread of the deadly Corona Virus which the government ignored.
While we appreciate some of the efforts that are being put by government to prevent the spread of the virus we believe that these are not enough and government must take the next decisive act of shutting down the country . This should be done in a coordinated way that involves all stakeholders across sectors to get trust and support of the citizens as well as material support from the private sector. Government should also adequately fund the fight against this epidemic and ensure that frontline health services workers are fully supported and protected.
Our national health delivery system is incapacitated to handle the pandemic as evidenced by events of the past week. While other countries are taking bold steps to cut the cycle of the virus through measures that include imposing lockdowns and other measures designed to protect their citizens our responses have been inadequate. We also call upon stakeholders in Zimbabwe to step up to the challenge and assist by all means.
We implore government to endeavour to prioritise dialogue and consultation and refrain from making unilateral decisions.
Government needs to urgently convene the Tripartite Negotiating Forum (TNF) through digital platforms to find ways of assisting workers and struggling businesses during this period.It is also critical for government to immediately engage organised labour and businesses on how to sustain essential services that should be manned by a workforce that is well protected and motivated.
We note that even countries with strong economies are struggling to control the pandemic thus we call upon the government to be bold on preventive measures and upscale social security protection to the vulnerable as a matter of urgency.
While we are aware that other countries have put in place measures to compensate workers for the loss of incomes, we call upon our employers to be empathetic to their employees and provide the necessary social security safety nets as a matter of urgency since the disruptions to production have been occasioned by a superior force beyond anyone’s control. Employers should also act responsibly and refrain from taking advantage of this situation to deduct workers annual leave days. Good employers should lead by example and prioritise their employees’ safety at this critical juncture by closing shop while monitoring the situation.
During the period citizens and workers should not disregard the scientifically proven safety guidelines that are in the public domain. Citizens are reminded that they have only one lifetime to live and should not risk their health and safety and that of their families.
Japhet Moyo
Secretary General
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You are missing “The Corona Bonanza” for LDCs like Pakistan.The Opportunity is being missed out.
Bonanza 1
There will a temporary shock to the government fiscal revenues as Imports will crash,CIF rates of imports will also crash,domestic production has stopped (as tax on MRP less deductions is paid at the time of production and not sale),domestic MRP rates will also crash.That is Y the state has not passed the benefits of lower crude and palm rates to the people.dindooohindoo
The Bonus is in non-salary expenditures of the state,which are on ARC (Annual Rate Contracts) or other RC.With crash in commodities and surplus capacities – Pakistan can easily make and re-negotiate its procurements.Large nations like Hindoosthan,will face disaster,as they will face supply risks,per se.W.r.t the purchases by the Pakistani state,the state can declare Force Majeure,especially on International contracts.
There is no immorality in this,as the suuply and value chain of the suupliers to the state – will,in any case,declare Force Majeure – which will ensure that the suupliers will default on the government contracts.The supliers will make supplies at ARCs,only to the extent of the existing stocks,as at March 15th,2020.They cannot be allowed to supply,from new purchases at the old ARC rates.
Global suppliers will be glad to dump their stocks – with depots in Pakistan – for sale to the Pakistani State.
This could easily reduce the costs by 30-50%,on a one time and recurring basis.Once this Cost is saved,in phases,the benefit of oil price crash on fuels and edible oils and also power tarriffs and fertilisers,can be passed on to the public.That will be pure jannat.
Bonanza 2
The Only Solution to the supply chain risk in USA/EU (w.r.t their supply chains in PTRC) lies in massive robotics and AI – which will make humans obsolete in manufactuirng and also,in part,in IT.The question is,what to do with the humans.That is Y the virus is sought – Simple !
For Pakistan – the crash in Raw Materials and cost of capital, availability of capital and crash in logistics costs will make manufacturing and exports viable.That makes existing unviable manufacturing units viable and jobs and decline in NPAs.No fresh capacities should be launched,solely based on the current cost structure.Crash in costs plus the low labour costs in Pakistan and stable PKR – is the Alt-AI and Robotics
The Pakistani people should thank its prior leaders,that they made manufacturing unviable in Pakistan,and made it a trading nation. Had the state set up manufacturing units – they would be unviable,banks would be busted and there would have been mass skilled unemployment. Just look at Hindoosthan. dindooohindoo
This is the time for setting up manufacturing units – SME and others.
The military,food,telecom,technology and health secuirty of the USA and EU is in the hands of the PRC.These nations will be FORCED to move at least 10-20% of their supply chain,to other nations.They have no choice.
Bonanza 3
The SBP and the treasury of the private sector,should suck in the Corona rate cuts and packages in EU/Nippon/North East Asia and the USA – and restructure the entire FX loan portfolio,w.r.t tenor,spreads,risk premiums,swaps and hedges. One simple way,is by trade finance,which is based on underlying trade and other activties with those nations.
Bonanza 4
After doing 3 and 4 above,the state should invite bids to build and repair infrastructure on BOOT basis.The Cost of infra should reduce by at least 30%,supplemented with long term soft loans and grants.
With viable manufacturing and exports,lower cost of debt – an already cheaper infra cost – will make infra financing and operations,all the more viable
Bonanza 5
To lock in the gains to the people and industry,the SBP and the State should lock in to NYMEX crude and futures,at current rates (on CBOT or with large funds etc.) – for as long as possible,with reasonable contangos or maximum backwardation.A large nation cannot do this – as it will move the premiums,in the derivatives market.
The State should thereafter, lock in the oil and gas rates – and then affix power and fertilisr tarriffs, for the same tenor – with a priority for industrial zones – after meeting the consumer needs.Edible oil contracts can also be struck with large funds,in the USA/EU.
This is also the time for the state to declare Force Majeuer on the ulra high cost RPP/IPPs.With reduced power demand,the entire power demand of Pakistan, can be met from fuel and coal plants,at less than half of the previous marginal cost. For several people, this power supply can be free of cost,as the Marginal cost of power on current fuel costs,should be around 1-2 Rupees (which is not worth collecting from marginal users).
It is time to celebrate !