Amtec transferred the garage that trades here as the Mutare Forecourt and Select Shop and its current stock to Sambiri Investments. Sambiri Investments is owned by Mushowe.
The properties were leased to Amtec by Zuva Franchise, which acquired the assets from the British oil company, Shell.
Sambiri has demanded that the 15 employees sign new contracts if they are to continue under new management.
The workers have contested the matter and dragged Amtec to the Labour Court demanding their former employer to settle their terminal benefits before they can sign new contracts.
According to labour laws, if workers sign a new contract under new management when a company is sold, they will not be eligible to claim their benefits from their previous employer.
According to papers in the possession of The Zimbabwean show that the workers are collectively claiming $242,608.54 in exit packages. Amtec proposed a staggered payment plan because it says, it has no money.
“In view of cash flow challenges we are going through, we shall be implementing a cash flow plan for the outstanding leave days for the each complainant (worker),” a spokesperson for Amtec said.
Moreover, questions have been raised whether Mushohwe’s acquisition of the properties was above board.
The transfer agreement between the Zanu (PF) Mutare West legislator and Amtec remains secret.
Mushohwe’s property takeover comes at a time when Zanu (PF) heavies have been on a property grabbing spree in the eastern border city.
Zanu (PF) Central committee member Esau Mupfumi is at the centre of a storm after his widely condemned acquisition of Meikles Park.
Several attempts to get a comment from Mushohwe were futile as his phone was not reachable.
However, Amtec managing director Lucas Taruvinga said the disposal of Amtec properties was based on viability problems.
Post published in: News