Job freeze shatters employment dreams

LIVINGSTONE MARUFU

The Zimbabwean government has delivered a crushing blow to millions of job seekers, announcing a freeze on recruitment across all sectors except health and education.

This austerity measure, aimed at controlling ballooning public expenditure, has dashed the hopes of many graduates eyeing employment in the public sector, long regarded as the country’s largest employer.

The freeze, unveiled by Finance, Economic Development, and Investment Promotion Minister Professor Mthuli Ncube during his 2025 budget presentation, is part of a broader strategy to allocate resources toward critical needs such as food imports and economic stability amidst a tightening fiscal space.

For thousands of Zimbabwean graduates, this policy marks a significant setback.

With the private sector struggling under severe rationalisation, the government was seen as the last bastion of employment. Now, many are turning to the informal economy, further exacerbating the nation’s unemployment rate, estimated at 87%.

“The freeze leaves no room for new opportunities,” lamented a recent graduate.

“It forces us into survival modes like informal trading.”

Professor Ncube attributed the job freeze to unsustainable employment costs, which are projected to hit ZWG152.6bn in 2025—exceeding the fiscal rule threshold.

“Revenue enhancement measures will be implemented while limiting recruitment to essential sectors like health and education,” he said.

The freeze follows recommendations from a Job Evaluation Report by the Public Service Commission, which revealed inefficiencies in government structures, including functional duplications, role overlaps, and an imbalance between managerial and non-managerial positions.

Key recommendations includes rationalising ministries and departments to reduce redundancies, implementing a new compensation framework based on “equal pay for equal work” and halting the expansion of certain public service structures until further evaluation.

Despite recent salary adjustments, civil servants continue to voice dissatisfaction. In August, unions demanded a raise to at least US$840 per month, citing inflation and a weakening local currency. The government’s current offer—US$400 in a mix of local and US dollars—has failed to bridge the gap.

An apex council member criticised government spending priorities, saying, “If foreign trips and luxury perks for traditional leaders were curtailed, salary increments would be feasible.”

This comes amid mounting pressure as public sector workers threaten strikes, further straining a workforce already depleted by emigration due to poor remuneration.

The 2025 budget allocates ZWG236.8bn (85.7% of expenditures) to public service compensation, including salaries, pensions, and medical insurance. Non-wage expenditures account for a mere 17.9%, underscoring the fiscal pressure posed by the public wage bill.

Professor Ncube defended the freeze, emphasizing the need for fiscal prudence.

“Employment costs now exceed 56.4% of revenue, far above the 50% threshold. Fiscal consolidation and resource mobilisation are critical to stabilising the economy,” he said.

As Zimbabwe grapples with these tough decisions, experts warn of a worsening unemployment crisis unless structural reforms and economic diversification are urgently pursued. For now, millions of hopeful job seekers find themselves caught in a tightening fiscal trap, with their futures hanging in the balance.