Zimbabwe Freezes Government Hiring as It Struggles to Pay Wages

Zimbabwe’s government ordered a freeze on hiring of state workers as it struggles to meet a wage bill that accounts for more than 80 percent of its revenue, a finance ministry document shows.

The government this year had to delay payments to workers ranging from teachers to soldiers as revenue plunged and imports rose. Since abandoning its own currency in 2009, Zimbabwe now mainly uses the U.S. dollar. That’s meant manufacturers from neighboring countries such as South Africa have been able to undercut their Zimbabwean competitors as the national currencies have weakened. The resulting dollar shortage and late salary payments sparked national protests last month.