Business Correspondent
CHINHOYI \u2013 Jiangxi Risheng Private Limited, a Chinese-owned mining company operating Detroop Mine in Chikuti, Mashonaland West, has been fined US$200 and ordered to settle nearly US$97,000 in unpaid contributions after under-declaring its workforce to the National Social Security Authority (NSSA).<\/p>\n\n\n\n
The Chinhoyi Magistrate Court convicted the firm this week for violating the NSSA Act (Chapter 17:04) by declaring only 61 employees instead of its actual workforce of 273.<\/p>\n\n\n\n
The discrepancy, uncovered in a joint investigation by the Zimbabwe Anti-Corruption Commission (ZACC) and NSSA, revealed the company employed 190 permanent staff and 83 contract workers but failed to remit mandatory social security and workers\u2019 compensation funds since 2022.<\/p>\n\n\n\n
Prosecutors stated that the under-declaration prejudiced the state of US$96,919.42 in unpaid contributions to the Pension and Other Benefits Scheme and the Accident Prevention and Workers Compensation Scheme.<\/p>\n\n\n\n
The court ordered the company to settle the debt within 30 days, in addition to the US$200 fine.<\/p>\n\n\n\n
Representing Jiangxi Risheng, company official Meng Quangyuan pleaded guilty to the charges. Magistrate Tendai Mahwe emphasized the severity of the offense, stating,<\/p>\n\n\n\n
\u201cEmployers must uphold their legal obligations to protect workers\u2019 welfare and contribute to national social security systems.\u201d<\/p>\n\n\n\n
Authorities Crack Down on Non-Compliance<\/p>\n\n\n\n
ZACC confirmed the investigation began after a tip-off, underscoring its commitment to tackling corporate fraud.<\/p>\n\n\n\n
\u201cThis case sends a clear message: evasion of statutory obligations will not be tolerated,\u201d said a ZACC spokesperson.<\/p>\n\n\n\n
NSSA reiterated calls for transparency, urging all employers to declare full workforces to avoid penalties.<\/p>\n\n\n\n
Detroop Mine, which focuses on gold and nickel extraction, has not publicly commented on the ruling.<\/p>\n\n\n\n
The case highlights ongoing challenges in regulating foreign-owned mining firms, which have faced repeated accusations of labor and tax violations in Zimbabwe.<\/p>\n\n\n\n
As pressure mounts for stricter enforcement, NSSA warns that audits targeting under-declaration and non-remittance will intensify across sectors.<\/p>\n\n\n\n
\u201cCompliance is non-negotiable,\u201d an NSSA official stated.<\/p>\n\n\n\n
\u201cThese funds safeguard workers\u2019 futures, and we will pursue all defaulters.\u201d<\/p>\n\n\n\n
The ruling has sparked mixed reactions, with labor activists applauding the court\u2019s decision while calling for harsher penalties.<\/p>\n\n\n\n
\u201cA US$200 fine is a slap on the wrist for a multinational firm,\u201d said union representative Tawanda Marimo.<\/p>\n\n\n\n
\u201cStronger deterrents are needed to protect workers and state revenue.\u201d<\/p>\n\n\n\n
Jiangxi Risheng has 30 days to settle the outstanding amount or face further legal action.<\/p>\n\n\n\n
Zim GBC News\u00a9\ufe0f<\/p>\n","protected":false},"excerpt":{"rendered":"
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