YOUNG PHIROZ FORCED TO PAY: GOVERNMENT INTERVENES AFTER 94 WORKERS REFUSE NEW CONTRACTS
The FOX Newspaper
Lusaka, 14 April 2025 — The Ministry of Labour and Social Security has compelled Young Phiroz General Dealers to pay redundancy packages to 94 workers who were kicked to the curb after refusing to sign new contracts.
Three weeks ago, the workers took their fight to the Ministry, rejecting what they termed as exploitative contract alterations. Under Section 23(2) of the Employment Code Act, any changes to an employment contract must be agreed upon by the worker. These workers said no—and the law backed them.
By refusing the revised terms, the law automatically classified their exit as redundancy under Section 55(1)(c) of the same Act. And redundancy means payment.
The Ministry calculated a total payout of K1,128,590.87, and Young Phiroz has agreed to settle it in three installments. The first payment—K545,274.43—was made on April 12. Workers owed less than K9,000 have been fully paid. The rest will get K5,000 now and the balance by May 12.
This case sets a precedent: employers who sneak in unfair changes without worker consent will pay the price.
In a final punch, the Ministry says affected workers will be enrolled in the Productivity Clinic under the National Productivity Development Department to help them find new income avenues.
YOUNG PHIROZ FORCED TO PAY: GOVERNMENT INTERVENES AFTER 94 WORKERS REFUSE NEW CONTRACTS
