Information has emerged that Absa Bank Chief Executive officer Mizinga Melu, “is reluctant” to trigger speedy settlement of redundancy packages to former Barclays Bank employees now working under the newly launched Absa Bank Limited.
The over 527 Unionized Workers since the launch of the Absa Bank brand on the Zambian Market have been working without contracts, a situation that has created fear, panic among the workers who have lost hope in their union, the Zambia Union of Financial Institutions and Allied Workers.
According to information obtained by our Team of Analysts, the Union is unbelievable siding with Absa Bank, a stance that has disappointed the Unionized Workers.
Mizinga Melu, the celebrated Banker is treating the workers as even they are still under extinguished Barclays Bank, hence no need for the workers to be paid redundancy packages.
But a look at the country’s Labour Laws show that the workers deserve to be paid redundancy packages.
The labour laws of Zambia state that the contract of service of an employee shall be deemed to have been terminated by reason of redundancy, if the termination is wholly or in part because of the employer ceasing or intending to cease to carry on the business by virtue of which the employee was engaged or the business ceasing or reducing the requirement for the employees to carry out work of a particular kind in the place where the employee was engaged and the business remains a viable going concern.
We have also established that those in management under duress signed new contracts but conditions of service changed negatively compared to when they worked under Barclays Bank PLC.
Those in the inner circle believe that there is a well orchestred plan to silence anyone pushing for the settlement of redundancy packages since Barclays Bank Zambia ceased to operate in Zambia.
Without contracts the workers can be mutually be dismissed thereby losing everything considering that Barclays Bank is no longer in existence.
The change of name from Barclays Bank is not a mere name change. Alot has happened, which requires the settlement of redundancy packages to “former Barclays Bank employees”.
In 2013, the Supreme Court ruled in favour of Musanje and 63 others against Zambia Breweries PLC. In this case the employees under Zambia Bottles and Copperbelt Bottling Company Limited queried the decision by the company to transfer their contract to a new entity named Zambia Bottles PLC.
In conclusion, as even it is a planned undertaking Absa Bank has flooded mainstream media with its rebranding advertisements, a trend that has compromised the media industry to pay a blind eye to such a happening at a reputable Financial institution.
It is also understood that Zambia Union of Financial Institutions and Allied Workers, is siding with Absa Bank instead of the Unionized Workers. The Union at the inception of the rebranding from Barclays Bank to Absa Bank was in support of employees but Unionized Workers have been let down due to unexpected dragging by the Union to pursue the settlement of redundancy packages.
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