Government has ordered local authorities to stop paying exit packages to executives and other employees leaving council service following outrageous demands and golden handshakes given to departing council executives.
In an interview yesterday, Local Government, Public Works and National Housing permanent secretary Eng George Mlilo said retiring or departing council employees should only be given their pensions at the Local Authority Pension Fund while those who are dismissed get only their contributions from the fund.
He said council officials were being awarded outrageous retirement packages that crippled service delivery. Recently, Government blocked the payment of a $300 000 golden handshake to outgoing Victoria Falls treasurer, Mr Thembinkosi Khumalo saying it would not allow a situation where council employees are becoming richer than their employer.
More: Herald