Zimbabwe's Wage Bubbles

After independence, the smart in Zimbabwe won the lottery. As 200 000 Rhodesians left , job openings came up and lavish homes were left vacant.

Even semi-literate clerks found themselves taking up managerial positions. Today, over 300 000 graduands fight for a couple of formal semi-clerical jobs.

In 1980, beautiful houses were easy pickings. Families moved en-mass from impoverished areas to the suburbs, courtesy of cash-rich banks and building societies. Living standards rocketed: no more colonial oppression, jobs aplenty, cheap homes, leisure and factories galore!

1980 saw a boom of the salary, pension and allowance bonanza. A legacy of colonialism, with talent having gone in droves the remaining executives realized a self-enrichment gold-mine. In state enterprise- with little transparency and accountability, outright fraud has become the order of business.

Today, jobs are scarce and productivity has been destroyed by poor policy. Factories are gone, however the 1980s 'high salary syndrome' persists. Even with the post-independence economic 'bubble'  having burst, some players still  don't realize the century of performance and austerity is upon us.

Jobs for Zimbabweans

90% of Zimbabwe’s working population is jobless. Household subsistence and the informal sector do offer this majority limited opportunity. Among young adults, the majority have no opportunity at all.  The 10% formally employed are underpaid in low quality jobs.

Youth unemployment was an issue, even before political independence was gained in 1980.Rapid population growth, since 1980, has never been matched by job creation in Zimbabwe. High unemployment has fuelled emigration and poverty, guaranteeing crime, prostitution plus delinquency all round. Lack of opportunity has led to wasted youth and moral decline.

Facilitating conditions that ensure real productive job growth is the remit of the state. Only inclusive policy will give Zimbabwe increasing formal employment and the needed rising demand for labour.

Without a currency and bruised by double deficits the country needs to recover its monetary-fiscal positions. Thus, a Zimbabwe properly managed from the top will bring about more social stability. To avoid this persistent waste of talent, government has to amicably work with firms providing quality jobs.

Zimbabwe’s government is not powerless. Zimbabwe government can curb in-house corruption, clean up its failed institutions and remove bureaucracy. Zim gov needs to start walking the walk, all talk no action does not deliver results.