Mphwiyo set for massive payout


Government must pay former budget director Paul Mphwiyo all the money he was entitled to receive since 2014 when he was removed from the Government payroll, a court has ruled.

The Industrial Relations Court has made the ruling after Mphwiyo sued the government for interdicting him without pay.

Mphwiyo’s suspension came after he was arrested over the theft of K2.4 billion in government funds, in the scandal popularly known as Cashgate.

The former Budget Director complained to the court that the suspension saw him losing benefits such as provision of a car with option to buy, fuel allowance of 250 litres per month and airtime allowance of K20,000 per month.

In a Judgement dated 1st September, 2021 the Industrial Relations Court has ordered Government to give Mphwiyo the money he would have received over the course of the seven years taking into account salary hikes implemented over the years.

The court has also told government to lift Mphwiyo’s suspension.

“The Accountant General and the Secretary for Human Resource Management and Development forthwith calculate and pay all the Applicant’s withheld salary from 5th November, 2014 being the date of interdiction to date when the payment is actually made.

“The court has ordered Human Resources Management and Development should forthwith reinstate the applicant on government pay roll. The interdiction of the Applicant without pay is unlawful, illegal and amounts to unfair labour practice,” says the judgement.

Attorney General Thabo Chakaka Nyirenda has since applied for a stay order to put aside the default judgement so that his office should filed defence. The application will be heard in court next month.

Last year, the then Attorney General Chikosa Silungwe advised Government against suspending employees without pay saying it is illegal.

This came after the Tonse Alliance administration suspended several Government employees of alleged abuse of funds.