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Zimbabwe’s government is set to cap civil service wages at no more than 50% of the national budget, in a bold attempt to rein in rising public sector costs and restore fiscal balance. The announcement was made by Finance, Economic Development and Investment Promotion Minister Professor Mthuli Ncube, who acknowledged the mounting strain placed on the national purse by a bloated wage bill in the face of a shrinking tax base and slowing economic activity.
“We agree that this is high. Clearly, this is of concern to us as Treasury, and we will make every effort to manage this,” said Professor Ncube. “They (civil servants) work very hard, and they want to put pressure on us to keep improving their working conditions. This pushes up the wage bill, and therefore we have to balance the situation.”
Currently, civil service expenditure consumes 56.4% of the national budget. The government’s goal is to reduce that figure to a maximum of 50%, down from past highs of 80%. “It used to be 80%, and we’ve come a long way, but our target is a maximum of 50%, no more than 50%. This is an issue which I agree with observers on,” Ncube added.
The decision comes after the elimination of 3,000 government positions between September 2024 and June 2025, as well as ongoing efforts to root out ghost workers through nationwide biometric audits. These measures are part of a broader rationalisation plan backed by Cabinet, following an extensive Public Service Commission appraisal across 21 ministries. The audit revealed widespread inefficiencies, including violations of job evaluation principles, overlapping roles, and a worrying imbalance where managerial roles outnumbered technical or non-managerial positions.
In response, the government has begun implementing reforms aimed at restructuring the civil service. These include right-sizing employment, cutting unnecessary budget travel, streamlining foreign missions, and introducing physical audits to verify the legitimacy of all government beneficiaries. Alongside these efforts, the state is also rolling out re-skilling programs and a new salary framework built on equal pay principles—reforms intended to align with the country’s Vision 2030 development strategy, which pledges to leave no one and no place behind.
Economists have largely welcomed the move, warning that the current wage burden is simply unsustainable for an economy with limited formal sector activity. “This is just too high for our economy. Something needs to be done to correct that,” said economist Eddie Cross.
The cap on wage spending is part of a broader fiscal stabilisation effort, one that aims to ensure public service sustainability without compromising essential government functions. With pressure mounting to strike a balance between rewarding public workers and maintaining a viable fiscal position, Zimbabwe’s civil service reform may prove pivotal in shaping the country’s economic trajectory over the next decade.
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