Mathanga resigns as deputy governor Reserve Bank of Malawi  citing ‘constructive dismissal’

March 29, 2021 Wongani Chiuta - Nyasa Times 34 Comments

Reserve Bank of Malawi (RBM) deputy governor Henry Mathanga has resigned, citing  “constructive dismissal” after the central bank forced him to go on  special leave and is yet to enforce the Industrial Relations Court (IRC) order to provide all  his benefits.

Henry Mathanga:  I have been constructively dismissed

Mathanga, who joined the central bank in 1984,  said in his resignation letter dated March 25 2021, addressed to Secretary of the President and Cabinet (SPC) and RBM governor: “ I would like to tender my resignation from the position of deputy Reserve  Bank governor with immediate effect on the  basis that I have been constructively dismissed.

He confirmed his resignation in an interview with Nyasa Times.

On March 2 this year, the Industrial Relations Court ordered the central bank not to effect a 50 percent cut on his salary and provide him with a new official vehicle befitting his position.

The court also ordered RBM to allow Mathanga purchase the vehicle he was using before he was appointed Deputy Governor of the RBM on 13th April, 2020.

The Industrial Relations Court made this order after Mathanga protested the unlawful move to  cut his monthly salary without his consent and deny him a new vehicle befitting his new position as Deputy Governor.

RBM governor, Wilson Banda, who replaced Dalitso Kabambe, unilaterally decided to cut the salaries of some RBM  executives contrary to tthe Reserve Bank Act and Employment Act and as such the Industrial Relations Court  faulted the RBM Governor for acting against fair labour practices as well as the Reserve Bank Act on salaries and benefits.

Mathanga, therefore, protested by seeking an order restraining the RBM from slashing his salary. The Court agreed to his request and issued the order to Reserve Bank and the office of Attorney General to stop them from  cutting his salary and all other benefits.

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34 replies on “Mathanga resigns as deputy governor Reserve Bank of Malawi  citing ‘constructive dismissal’”

  1. Alomwe tili mmavuto. Atumbuka ali busy kuba mumaofesimu plus akungolembana ntchito pachiwenewene including internship program koma nobody is saying anything. But you are busy hunting for Lomwe people wherever they are working. What kind of people are you?????? What kind of justice is this??? When I finish my degree in HR I shall smoke out this nosense happening in employment circles where only tumbukas are employed. Go to tea estates and Dwangwa Sugar Company and you shall be shocked to see how many northerners are employed there. As if somebody said tea and sugar companies are for tumbuka people only. Shame shame shame!!!

    1. Shame is when some tribesmen dominated all levels of employment in Malawi and went on to raise obscene salaries for themselves. Shame indeed. How can someone be receiving K27000000 as salary with a small economy like Malawi. Manyazi mulibe koma??????

  2. Yes thus exactly ‘constructive dismissal’ make sure it goes to arbitration so that they pay hefty penalty of compensation. It has to be calculated since 1984. RBM is not politically affiliated to anyone.Dont go back there or else they won’t learn a lesson from this nonses they are doing,let them pay you!

    1. Ndiwe mbuli. When you say let them pay you, who are you referring to? Will the money come from anyone’s pocket? Or will it be public money? Do you really think RBM as an institution will be hurt by this. And when they pay him, inu mupindula cha? Mudya nawo?
      Dr. Banda is doing a good job rationalizing salaries and benefits at RBM. He is leading by example. No one at RBM deserves a salary of K22 million a month. Purge these selfish employees out. If it means compensation, the bank will manage that, but get these selfish people out of the system

  3. After serving for 36 years please go and rest. Za dziko izo kapumeni baba ena abwerepo pa RBM sipamudzi wamunthu ndipa ntchito. Go thee well

  6. Help me understand this….. This dude was on “special leave”, whatever that means. His salary was reduced from K22m a month (or thereabouts) to some lower figure only 100 times higher than you and I earn, but the Industrial Court jacked it up back to K22m. He wasn’t paid the entire lot now, but by law he was going to get every penny of the K22m one day, while doing absolutely nothing. Why then did he decide to quit? Getting K22m per month while doing nothing seems like heaven on earth to me. Am I missing something? Is he running away from some illegal shit he might have done during the lawless days of the DPP?

    2. @gombwax, maganizidwe aulesi mwalembawa. If you are born lazy you will be happy just to be staying without working whilst receiving salary. Hard workers and people who are intelligent regard staying idle as “wasting oneself”, whether they get paid or not

      1. Not so fast. When he was sent on “special leave” and was paid less, the “intelligent hard worker” of yours never sued to go back to work; instead, he sued to have his hefty salary reinstated. Now that the court has said he could have his hefty salary back, why is he quitting? Methinks he was part of the criminal cabal that facilitated Muli to have billions from RBM, as per the recent news reports. DPP was nothing but a vast criminal enterprise with tentacles everywhere our taxes were.

        I could go on, but there isn’t much point in having two faceless pseudonyms argue. So I’ll leave it at that.

  7. This Mathanga guy looks very intelligent and knows exactly what he wants to achieve.This new governor is clueless.He is messing up the mother bank each and every moment with his pathological hatred for Lhomwes

  8. You mean he has been in the bank for 37 years? He must have reached retirement age. Azipita on old age. These guys rewarded themselves with too high salaries from our taxes. This the rubble that has to be cleared. No politics.

    1. Nundwe wakhala ku barracks for 42 years and yet far from retirement age, though personally I personally feel one should grow tired of working for 37 years at one place. by the way I wonder how old the governor is

  9. Go well scammer. You and kabambe scammed this nation, you tripled your salaries without consulting other government agencies. How on earth could you be pocketing 20 million kwacha monthly in this small economy country. Anthu kumalipira musonkho ndalama kumathera mumatumba mwanu as if malawi is your father’s farm. No mercy on you. Go! Go! Go!

  10. A guy like Mathanga and his wife Jean the MEC commissioner have to be investigated, either by ACB or better the Ombudslady! We the taxpayer of this country need to know what this couple have cost the public coffers during DPP aera? There was shady fertiliser deal under Bingu and know this! How can a public employee behave this pompous in the poorest economy of the world?

  11. Incomplete story ,how much were the Executives getting before the Cuts….We only heard about MK 28 million for the Governor …Anthu anatasako kumeneko ka Economy kake kameneka kodalira Borrowing ….basi ma benefits pwiii

  12. Apa yalakwa ndiye tizingokhalira ma industrial court eti, Zinazi zimafunika kudekha mmngakhale kuti enawa amadzwikiratu kuti ndi a DPP chifukwa zapa nchito zili ndi malamulo ake pamene za chipani ndi zongotolera aliyense kaya ndi bulutu or wanzeru bola akudziwa kuomba mmaja kapena kululutira abwana akamalankhula. Chonde a Malawi tisabwezere tchimo ku tchimo ngati pali kufuna kusintha tionetsetse kuti tutsata malamulo. Kandinvere adanena za mmaluwa ndipo nkonze mnkonze adanyula maliro aweni ndipo ukagwira chitedze usamapukute ku maso nmanja chifukwa uona ngala.

  13. The guy has been at RBM since 1984 before most of us were even born. He has seen different governments coming in and out. Targetting him at this point because he is Lomwe is very unfortunate. MCP can only consolidate power by delivering to their promises and NOT by putting their folks in key positions. Remember even the mighty DPP tried that tactic but they miserably failed. We are in an information age and it’s hard to hide and cover up shortfalls. The best MCP can do is to perform not this retrogressive gestures of firing people not of the same political affiliation. Do we have all to be MCP to be employed by govt? This is sad.

    1. We have got more capable people here in Malawi,just imagine if to follow your point.Having worked since 1984,and we have more graduates out there.Why someone holding the same position,and place yet someone requires experience?Thats a greedy spirit,or something is in a mess.I would even suggest that all those who have worked for 20 years ad above,should retire.Pave way for new blood,Kupusa kwa a malawi timaombera mmanja zinthu zoterezi.There is no political move here,anthu ena agwirekonso ntchito.

      2. Then why did your president bring back retired man to handle RBM? apart from the fact that he is Chewa? double standards, hypocrisy

    2. Logical thinking was destroyed by DPP Government my friend. If you were not from Lomwe belt, forget promotion, or any good from that Government. People from central and northern regions SUFFERED under DPP reign. Utifuse. Alomwe anthu oipa, opanda chifundo, ankhanza, ozunza, komanso akuba. I have no sweet words for them. Can u imagine, RBM Governor was Kambambe (mlomwe) then deputy Mathanga (chimulomwe). Khalidwe lonunkha. Pano ndinthawi yobwezera basi asaaa!

      1. Even a Tumbuka and a Chewa were and are still doing nepotism b4 DPP, during DPP and after DPP.. nepotism was started by Kamuzu and the higher ranking Tumbukas in the state machinery.. we are not ignorant.. we know where we are coming from..

  15. Teach these hypocrites a lesson. Do not be part of idiots failing to tame inflation. Let them mess up the economy alone.

  16. Nde umunthu bwana umenewo. More life available after the bank. Mkwiyo ayi, ndale ayi just relax and see other opportunities.

  17. Mathanga smiling all the way to the bank!! The stupid governor should have been fired for his reckless and unprofessional move. Us tax payers end up paying for the stupidity of uncultured and inexperienced party zealots posing as CEO’s

  20. WHY ALLOWING HIM TO BUY THE VEHICLE IT DOES NOT SUIT HIS POSITION?
    IT CLEARLY SHOWS THERE IS NO NEED TO BUY NEW VEHICLE…
    LETS THE CASH BUILD A SCHOOL BLOCK AT NTONDA PRIMARY SCHOOL…
    CHILIMA FIX THIS MESS

    1. In companies this is in employment contract. I don’t think ur wise more than deputy governor. 1984 silelo abwana

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