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NSSA pauses Shava’s appointment as substantive GM

14 Mar, 2025 - 00:03 0 Views
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THE National Social Security Authority (NSSA) board has reportedly deferred the appointment of Dr Charles Shava as the substantive general manager of the State-owned pension fund.

Sources familiar with the matter said the board was directed to confirm Dr Shava’s appointment last week despite concerns regarding his pending court trial.

Dr Shava is facing charges of unprocedurally awarding allowances to four NSSA doctors, a decision that had previously been rejected by the board.

Dr Shava is among nine candidates who were initially shortlisted for the interviews. Of the nine he was among seven who participated in the interviews after two pulled out.

NSSA is a State-owned entity that manages pension and social security funds and holds an extensive portfolio of company shares in several publicly listed firms.

Harare regional magistrate Taurai Manuwere last week set March 14, 2025 as the trial date for Dr Shava.

It is alleged that Dr Shava, who has served as acting general manager since 2022, defied the board by unprocedurally granting the NSSA medical doctors’ allowances previously rejected by the board.

Management’s proposal included call, medical risk, non-practising, and special skills retention allowances. The board authorised only the retention allowance and declined the other three.

It is alleged that on December 20, 2022, Dr Shava generated a memorandum directed to the chairperson of the human resources committee, authorising the allowances, including those rejected by the board.

But Dr Shava allegedly proceeded and instructed the acting human resources director to effect payment of the allowances.

It was presented in court that on February 14, 2023, Ms Tambudzai Jongwe, the acting director of human resources, sent an email to Dr Shava seeking further clarification regarding his directive to pay the allowances without the approval from the finance committee and the board.

According to sources, the directive to appoint him as substantive GM would have significantly compromised the board’s credibility, given the pending legal case.

“Appointing someone under such circumstances would have been a blatant disregard for internal processes and would have severely damaged the board’s reputation,” said a senior official at the Ministry of Public Service, Labour and Social Welfare, who requested not to be named citing protocol issues.

NSSA falls under the purview of the Ministry of Public Service, Labour and Social Welfare. “The primary responsibility of the board is to protect the integrity of NSSA. How could we justify confirming an appointment when there were such serious questions about the candidate’s suitability,” the source queried.

Calls and messages seeking comment from Public Service, Labour and Social Welfare  Minister Edgar Moyo were not replied to. NSSA chairman Dr Emmanuel Fundira was also not immediately available for comment.

However, sources said there was, earlier, a directive to confirm Dr Shava as substantive GM, and subsequent instruction to put the appointment on hold.

Observers have noted the latest developments were “concerning”, particularly given the ongoing efforts to stabilise NSSA, which has experienced numerous management and board turnovers over the past decade.

NSSA has experienced significant leadership instability since 2015, marked by frequent changes of directors and general managers. Former GM James Matiza was sacked in October 2015, followed by a brief period of acting leadership by board member Hashmon Matamera. Elizabeth Chitsiga was then appointed in August 2016 but left in 2018. Emmerson Mangwariri then took over, only to be relieved of his duties in 2020.

Arthur Manase was appointed in January 2021 and was suspended in July 2022. Dr Shava then assumed leadership in an acting capacity. After serving for six months, he was supposed to hand over to Agnes Masiiwa as substantive GM but had her appointment reversed within 24 hours.

Similarly, the NSSA board has also seen substantial turnovers of its chairpersons. Robin Vela, appointed in 2015, was dismissed in 2018. Daphne Tomana served as acting chairperson in April 2018, followed by Cuthbert Chodoori in February 2019, but saw his board dissolved in November 2020.

Dr Percy Toriro was appointed in May 2021 and offered to resign in March 2023. Analysts say the frequent changes in the general managers and board directors highlight instability within NSSA.

Established under the NSSA Act of 1989, its core mission is to administer social security schemes that offer social security cover to workers and their dependents.

NSSA primarily manages two key schemes; the National Pension Scheme and the Workers’ Compensation Insurance Fund (WCIF). The National Pension Scheme provides benefits that include retirement, invalidity, and death, funded by contributions from both employers and employees.

The WCIF, on the other hand, is funded solely by employers and provides benefits in case of workplace injuries or fatalities. Essentially, it is mandated to protect workers, and their families, from financial hardship caused by work-related accidents or the end of their working lives.

Beyond its core functions, NSSA plays a significant role in Zimbabwe’s economy through its investment activities. As a major institutional investor, it contributes to various sectors, aiming to generate returns that ensure the long-term sustainability of its social security schemes.

NSSA’s governance, investment practices, and minimal pension payouts have drawn public criticism, with many accusing the authority of impoverishing pensioners through its meager payments.

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