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Fidelis Munyoro Chief Reporter
The unsustainably high number of litigation cases involving the City of Harare and its former and current employees, which is bleeding council of ratepayers’ money running into millions of dollars, is attributable to a lack of appreciation of basic good corporate governance practices, legal experts have said.

Harare is spending ratepayers’ money in fighting and settling litigation instituted by unlawfully fired employees, who go on to win their cases in the courts.

The MDC-Alliance-run council’s blundering is bleeding the city when it comes to the much-needed revenue that could be utilised to fund key priority areas, amid reports that council is saddled with huge workers’ claims for damages coupled with legal fees.

Auditor-General Mildred Chiri on Friday revealed that Harare borrowed $32,5 million to fund salaries and terminal benefits without ministerial approval, in clear violation of the Urban Councils Act (Chapter 29:15).

Council is expected to fork out close to $8 million in a labour settlement involving six retired top managers, namely treasurer Mr Misheck Mubvumbi, business development manager Mr Cosmas Zvikaramba, housing and community services manager Mr Justine Chivavaya, urban planning services manager Mr Psychology Chiwanga, health director Dr Stanley Mungofa and director amenities Mr Dombo Chibanda.

The six were forced to leave employment before reaching the retirement age of 65.

Mr Mubvumbi has since been paid in excess of $800 000 for damages, according to his lawyers.

The quantification of damages was reached on the grounds that the managers were retrenched in 2014 and the Supreme Court handed down its judgment last year.

This means the council has to pay for the four years they were not at work plus damages in lieu of reinstatement because their positions were already filled, thus they cannot be reinstated.

Mr Mubvumbi was city treasurer until 2014 when council reduced the retirement age from 65 to 60 and he was among over 1 000 workers sent home.

Recently, Harare Municipality Workers’ Union chairman Mr Cosmas Bungu won his appeal for reinstatement after a protracted 10-year legal wrangle.

In the event that council refuses to reinstate him, the local authority has an obligation to pay him damages in excess of $1 million.

In 2017 alone, council lost $700 000 in default judgments.

Legal experts who spoke to The Herald said the City was poorly run, describing most of the local authority’s bureaucrats as ignorant to due diligence.

Former mayor and veteran lawyer Mr Muchadeyi Masunda said councillors, including the mayor, needed to understand that they were primarily responsible for formulating the policy framework within which the city council should operate in compliance with the enabling legislation — the Urban Councils Act — as read with any other relevant and applicable pieces of legislation.

“The elected councillors also have oversight responsibilities, which, however, do not entitle them to assume and exercise any executive duties of hiring and firing any member of staff for allegedly errant behaviour,” he said.

“In this latter regard, they have to be guided by the chamber secretary and his/her team of in-house legal practitioners, in close conjunction with the human capital (human resources) director. If necessary, these two heads of department can seek, with the city council’s approval, assistance from external firms of professional advisers.”

Mr Masunda said the council could best reduce the number of litigation cases instituted against it by making sure that at all material times, there is strict adherence to the hallowed principle of segregation of duties.

“I am an ardent believer in letting experts handle cases which fall within the ambit of their respective areas of expertise,” he said.

“It is a matter of regrettable and grave concern that, during the best part of the First Republic, elected officials at both central and local government levels arrogated to themselves powers which they neither had constitutionally nor were able to discharge professionally.”

Another legal expert, Mr Obert Gutu, said the administration of the City of Harare was in shambles and called for a complete overhaul of the local authority.

“The level of lethargy, laziness, indolence, incompetence, ineptitude and corruption within the city administration is unparalleled,” he said. “As it is, the concept of due diligence is an unknown factor amongst the majority of the local authority bureaucrats.

“Most of their decisions and actions are random, ill-thought out, illegal and in some cases, vapidly and rabidly corrupt. Council administration should be urgently cleansed of all the incompetent and corrupt elements most of whom have overstayed their usefulness at Town House.”

In 2015, Mr Bernard Manyenyeni, then city mayor, had to flee rowdy councillors who were baying for his blood after he reportedly described some of them as “functionally illiterate” or “uneducated” because of the manner they conducted council business.

The poor corporate governance is seen as an impediment to President Mnangagwa’s aspirations into turn around fortunes of the country to an upper middle class economy by 2030.

This is also hampering the city officials’ aspirations to turn Harare into a world class city by the year 2025.