Four directors at the Zambia National Building Society (ZNBS) have resigned with immediate effect for unknown reasons.
The Zambia Union of Financial and Allied Workers Union (ZUFIAW) smells a rat but is hopeful that the resignations was not a calculated move to cause panic at the institution.
ZUFIAW President Cephas Mukuka said the union was surprised that the directors chose to resign abruptly when management, ZUFIAW and Union
Brach officials held a meeting last Wednesday at the Ministry of Information, Broadcasting and Labour to chart the way
forward on ZNBS.
Mr Mukuka said the union was saddened by the directors’ failure to show leadership which he said was tantamount to holding the institution at ransom.
“We would like to assure the unionised members at ZNBS and clients that ZUFIAW is closely engaged in discussions with management and the
ministry of Labour to ensure industrial harmony.
“The tripartite consultative meetings we have been holding have been helpful in moving the process forward regarding industrial relations
issues which employees wanted to be addressed,” Mr Mukuka said.
Last week, four directors at ZNBS tendered in their immediate resignations from the institution but did not state the reasons for
Recently, President Michael Sata appointed the Mwila Lumbwe led commission of inquiry to investigate operations at ZNBS.
The ZNBS report submitted to President Sata indicated that the institution has been running at a loss.It also noted that adding since inception, it had only managed to give 15,000 mortgages against the 2 million deficit of housing units currently being faced.
Commission chairperson Mwila Lumbwe said during the hand over of the report that the ZNBS did not qualify under the financial regulation
Act to run as a building society because of its capital inadequacy.