Auditor-general Terence Nombembe has found allegations of irregularities in the way the Commission for Conciliation, Mediation and Arbitration (CCMA) procured goods and appointed key staff members were valid — and resulted in irregular expenditure of R23,6m. A report tabled in Parliament yesterday blamed the CCMA leadership for “inadequate monitoring and oversight in the area of supply chain management”.
CE Nerine Kahn said the commission did not agree with all the findings, many of which were technically exacting, but had already addressed most of them as they had already been raised in last year’s financial statements. “We have also put processes in place to ensure that these things don’t happen again in future.”
While mistakes had been made, the intentions of the management and the board had always been “honourable”. Ms Kahn said the CCMA’s governing council had also condoned much of the irregular expenditure, none of which was found by the auditor-general to be due to fraud or corruption.
The investigation by the auditor- general’s office, requested by Labour Minister Membathisi Mdladlana and his suspended director-general, Jimmy Manyi, highlighted the CCMA’s flouting of Treasury regulations and provisions of the Public Finance Management Act. This related to tender processes between 2007 and this year in the awarding of eight contracts that were not advertised, evaluated and adjudicated as they should have been.
In some instances the successful bidder was chosen on the recommendation of a director and was paid more than the amount in the bid proposal. The commission also incurred fruitless and wasteful expenditure by failing to pay pay-as-you-earn tax to the South African Revenue Service for part-time commissioners and by not paying R1,6m in employees’ contributions to the provident fund in due time.
Mr Nombembe called on the CCMA governing body and executive management to “decisively” address the findings in the report and ensure the implementation of effective accounting and internal control systems. Deficiencies highlighted by a previous auditor-general report had not been adequately dealt with, his report noted. “Within the context of the public service and state-owned entities, the primary responsibility for the prevention and detection of fraud and error rests with management of the entity and those charged with governance,” said the report.
Ms Kahn said the dispute resolution organisation’s funding model continued to be problematic and that once again the organisation would experience a shortfall this year and would have to ask the Treasury for more funds.
Source: Business Day
Showing posts with label Membathisi Mdladlana. Show all posts
Showing posts with label Membathisi Mdladlana. Show all posts
Friday, August 13, 2010
Sunday, July 25, 2010
DG exodus an outrage, says Nehawu
The National Education Health and Allied Workers Union (Nehawu), is "deeply outraged" about how many directors-general have been fired, suspended, resigned in questionable circumstances or threatened to resign in the past 18 months. The public sector union was reacting to the dismissal of Communications Director-General Mamodupi Mohlala by Communications Minister Siphiwe Nyanda on Friday after "some troubling and discomforting reports" of the minister's alleged interference in the issuing of tenders in the department.
Nehawu general secretary Fikile Majola said the "centre does not hold", intimated that President Jacob Zuma must lead and pointed out that the directors-general were in a state of flux, which bode ill for service delivery. "We expect better answers and compelling reasons about this (Mohlala) dismissal than the tired old line of 'broken trust' because we want to know what broke the trust," said Majola.
The past 18 months had seen the departure of directors-general Njabulo Nduli, Pam Yako, Jimmy Manyi, Thozi Gwanya, Portia Molefe, Vuyi Nxasana and Mohlala.
Agriculture, Forestry and Fisheries Minister Tina Joemat-Pettersson told senior officials in the department this week that Nduli had gone on leave, a month after she criticised her director-general in Parliament for the department's regular production of substandard briefing documents. While sources said Nduli would not return, the ministry had refused to confirm or deny the termination of her contract. Dr Moshibudi Rampedi, who allegedly applied for a Food and Agriculture Organisation post last month, was appointed acting director-general this week.
Water Affairs Director-General Pam Yako has been on suspension for a year since being placed on special leave by Water and Environmental Affairs Minister Buyelwa Sonjica pending the outcome of an investigation of alleged procurement irregularities. The auditor-general has since found that a contract with a service provider for information technology services was extended "on numerous occasions" to 49 months, and grew in value by 587 percent in the process to more than R1-billion. The extensions contravened the department's procurement and delegation of authority regulations.
Labour Director-General Jimmy Manyi was suspended by Labour Minister Membathisi Mdladlana recently, apparently because of comments he made during an official meeting with Norway's ambassador to South Africa Tor Christian-Hilda. Soon before his suspension, Mdlalana had apparently told Manyi to choose between his job as director-general and the presidency of the Black Management Forum.
Land Reform Director-General Thozi Gwanya's departure from his post at the end of this month was confirmed by Rural Development and Land Reform Minister Gugile Nkwinti this week. The confirmation that Gwanya's contract had been "redetermined" came after initial denials by the department.
Public Enterprises Director-General Portia Molefe resigned in September. It is unclear why she left.
November saw the ousting of acting Women, Youth, Children and People with Disabilities Director-General Vuyi Nxasana by Minister Noluthando Mayende-Sibiya, apparently after a breakdown in the relationship between her and the minister who was alleged to be loath to make crucial decisions, act on proposals or stick to ministerial handbook guidelines.
Nehawu said it found the situation "troubling, unsustainable and unacceptable", adding that it did not bode well for the stability of governance and service delivery. "The merits and demerits of these suspensions, resignations and dismissals aside, the message that comes out is that the centre is not holding in our government and that is a disturbing state of affairs," said Majola. "The biggest casualties of this chaotic situation is the citizens of this country who expect, and have been promised, service delivery... this presents a challenge when it comes to the implementation of the five identified priorities," said Majola. He emphasised that the country could ill afford the leadership vacuum created by the absence and the uncertainty surrounding these top officials because it demoralised the entire workforce in the departments and created uncertainty and instability. "Nehawu calls on the government to act swiftly in addressing this unacceptable situation of government departments that operate without stable leadership and also investigate the reasons that led to this spate of resignations and dismissals. "Service delivery should be a priority for all of us and... the government needs to start providing clear decisive leadership before it's too late," said Majola.
Source: IoL
Nehawu general secretary Fikile Majola said the "centre does not hold", intimated that President Jacob Zuma must lead and pointed out that the directors-general were in a state of flux, which bode ill for service delivery. "We expect better answers and compelling reasons about this (Mohlala) dismissal than the tired old line of 'broken trust' because we want to know what broke the trust," said Majola.
The past 18 months had seen the departure of directors-general Njabulo Nduli, Pam Yako, Jimmy Manyi, Thozi Gwanya, Portia Molefe, Vuyi Nxasana and Mohlala.
Agriculture, Forestry and Fisheries Minister Tina Joemat-Pettersson told senior officials in the department this week that Nduli had gone on leave, a month after she criticised her director-general in Parliament for the department's regular production of substandard briefing documents. While sources said Nduli would not return, the ministry had refused to confirm or deny the termination of her contract. Dr Moshibudi Rampedi, who allegedly applied for a Food and Agriculture Organisation post last month, was appointed acting director-general this week.
Water Affairs Director-General Pam Yako has been on suspension for a year since being placed on special leave by Water and Environmental Affairs Minister Buyelwa Sonjica pending the outcome of an investigation of alleged procurement irregularities. The auditor-general has since found that a contract with a service provider for information technology services was extended "on numerous occasions" to 49 months, and grew in value by 587 percent in the process to more than R1-billion. The extensions contravened the department's procurement and delegation of authority regulations.
Labour Director-General Jimmy Manyi was suspended by Labour Minister Membathisi Mdladlana recently, apparently because of comments he made during an official meeting with Norway's ambassador to South Africa Tor Christian-Hilda. Soon before his suspension, Mdlalana had apparently told Manyi to choose between his job as director-general and the presidency of the Black Management Forum.
Land Reform Director-General Thozi Gwanya's departure from his post at the end of this month was confirmed by Rural Development and Land Reform Minister Gugile Nkwinti this week. The confirmation that Gwanya's contract had been "redetermined" came after initial denials by the department.
Public Enterprises Director-General Portia Molefe resigned in September. It is unclear why she left.
November saw the ousting of acting Women, Youth, Children and People with Disabilities Director-General Vuyi Nxasana by Minister Noluthando Mayende-Sibiya, apparently after a breakdown in the relationship between her and the minister who was alleged to be loath to make crucial decisions, act on proposals or stick to ministerial handbook guidelines.
Nehawu said it found the situation "troubling, unsustainable and unacceptable", adding that it did not bode well for the stability of governance and service delivery. "The merits and demerits of these suspensions, resignations and dismissals aside, the message that comes out is that the centre is not holding in our government and that is a disturbing state of affairs," said Majola. "The biggest casualties of this chaotic situation is the citizens of this country who expect, and have been promised, service delivery... this presents a challenge when it comes to the implementation of the five identified priorities," said Majola. He emphasised that the country could ill afford the leadership vacuum created by the absence and the uncertainty surrounding these top officials because it demoralised the entire workforce in the departments and created uncertainty and instability. "Nehawu calls on the government to act swiftly in addressing this unacceptable situation of government departments that operate without stable leadership and also investigate the reasons that led to this spate of resignations and dismissals. "Service delivery should be a priority for all of us and... the government needs to start providing clear decisive leadership before it's too late," said Majola.
Source: IoL
Friday, June 4, 2010
Manyi suspended as Labour Dept DG
Labour Department Director General Jimmy Manyi was suspended from his job on Friday, Labour Minister Membathisi Mdladlana's spokesperson, Page Boikanyo, confirmed. Boikanyo declined to provide further details, saying the matter was "sub judice".
Manyi made headlines recently when Norway's ambassador to South Africa requested a meeting with Mdladlana to raise concerns about Manyi's conduct during an official meeting. "There were certain things discussed and the way in which they were brought up in that meeting that we did not appreciate," ambassador Tor Christian-Hilda told the South African Press Association last Thursday.
Christian-Hilda and two other senior diplomats from the Norwegian mission met Manyi in Pretoria in early March to discuss Norway's cooperation with South Africa's decent work programme through the International Labour Organisation. He said black economic empowerment (BEE) policies were discussed at the meeting, but declined to elaborate further on his reasons for sending a diplomatic note to International Relations and Cooperation Minister Maite Nkoana-Mashabane, from where the matter was passed on to Mdladlana. "I do not want to go into the details of what happened," he said.
Manyi said last Thursday the meeting had turned to difficulties Norwegian companies were having with BEE, at which point he offered to brief them in detail about government's policies in this regard "As the discussion flowed, the issue came up of challenges Norwegians were having with BEE. This is why I offered to give them a presentation about BEE and how it works," he said.
Manyi, who is also president of the Black Management Forum (BMF), said he saw nothing untoward about his offer and was surprised that the diplomats took offence. Manyi was reportedly recently told by Mdladlana to choose between his job as director general and the presidency of the BMF. But he said he did not think this was necessary because he was already in charge of the BMF when he was appointed by the Labour Department last year. "So there is nothing in the process of me getting the job indicating that I have to renounce anything," Manyi said. -- Sapa
Source: Mail & Guardian
Manyi made headlines recently when Norway's ambassador to South Africa requested a meeting with Mdladlana to raise concerns about Manyi's conduct during an official meeting. "There were certain things discussed and the way in which they were brought up in that meeting that we did not appreciate," ambassador Tor Christian-Hilda told the South African Press Association last Thursday.
Christian-Hilda and two other senior diplomats from the Norwegian mission met Manyi in Pretoria in early March to discuss Norway's cooperation with South Africa's decent work programme through the International Labour Organisation. He said black economic empowerment (BEE) policies were discussed at the meeting, but declined to elaborate further on his reasons for sending a diplomatic note to International Relations and Cooperation Minister Maite Nkoana-Mashabane, from where the matter was passed on to Mdladlana. "I do not want to go into the details of what happened," he said.
Manyi said last Thursday the meeting had turned to difficulties Norwegian companies were having with BEE, at which point he offered to brief them in detail about government's policies in this regard "As the discussion flowed, the issue came up of challenges Norwegians were having with BEE. This is why I offered to give them a presentation about BEE and how it works," he said.
Manyi, who is also president of the Black Management Forum (BMF), said he saw nothing untoward about his offer and was surprised that the diplomats took offence. Manyi was reportedly recently told by Mdladlana to choose between his job as director general and the presidency of the BMF. But he said he did not think this was necessary because he was already in charge of the BMF when he was appointed by the Labour Department last year. "So there is nothing in the process of me getting the job indicating that I have to renounce anything," Manyi said. -- Sapa
Source: Mail & Guardian
Friday, February 5, 2010
New body to expedite empowerment
THE government is banking on the recently appointed Broad-Based Black Economic Empowerment Council to speed up implementation of its affirmative action policy. The government’s economic transformation programme has been blamed for alienating the white community, while creating new social inequalities, especially among its intended beneficiaries.
The 19-member body, which is chaired by President Jacob Zuma , was officially launched yesterday. “We want it to give advice that will lead to action,” said Trade and Industry Minister Rob Davies . With its members appointed by the president, the council is a statutory body created in terms of the Broad-Based Black Economic Empowerment Act. It replaces a black business working group that advised former president Thabo Mbeki. “The sense that we all have is that progress of BEE to date has been modest,” Davies said. He said there was a need to review the codes of good practice “to see what is wrong with them, if anything”. There was a need to conduct research on the effect of black economic empowerment to date, and also on big deals concluded so far. Standing in for Zuma, Deputy President Kgalema Motlanthe said the government could no longer tolerate the current status of BEE, which in the past 15 years had benefited a handful of individuals. “Only a few benefited again and again from the bounty of black economic empowerment,” he said. The “truly marginalised” — women, the rural poor, workers and the unemployed — were left on the sidelines.
It was important to look at BBBEE beyond business deals and shareholding in companies, to include equipping people to run their own businesses. “More must be enrolled in skills training and more should have access to arable land.” The BBBEE council includes Congress of South African Trade Unions president S’dumo Dlamini, Business Unity of SA CEO Jerry Vilakazi, and businessmen Sandile Zungu and Don Mkhwanazi. Other government officials were Economic Development Minister Ebrahim Patel, Labour Minister Membathisi Mdladlana , and Minister of Women, Children and Persons with Disabilities Noluthando Mayende-Sibiya.
The council would meet at least four times a year in plenaries. But it was expected that the bulk of the work would take place through subcommittees to be established when it convened within six weeks . Motlanthe said it was wrong to think that the government did not want black people to be wealthy, just as it was unwise to dismiss critics of black economic empowerment. “The critics must accept that the exclusion of a large section of our community from productive participation in the economic life of our society is a significant hindrance to our collective prosperity.”
Source: Business Day
The 19-member body, which is chaired by President Jacob Zuma , was officially launched yesterday. “We want it to give advice that will lead to action,” said Trade and Industry Minister Rob Davies . With its members appointed by the president, the council is a statutory body created in terms of the Broad-Based Black Economic Empowerment Act. It replaces a black business working group that advised former president Thabo Mbeki. “The sense that we all have is that progress of BEE to date has been modest,” Davies said. He said there was a need to review the codes of good practice “to see what is wrong with them, if anything”. There was a need to conduct research on the effect of black economic empowerment to date, and also on big deals concluded so far. Standing in for Zuma, Deputy President Kgalema Motlanthe said the government could no longer tolerate the current status of BEE, which in the past 15 years had benefited a handful of individuals. “Only a few benefited again and again from the bounty of black economic empowerment,” he said. The “truly marginalised” — women, the rural poor, workers and the unemployed — were left on the sidelines.
It was important to look at BBBEE beyond business deals and shareholding in companies, to include equipping people to run their own businesses. “More must be enrolled in skills training and more should have access to arable land.” The BBBEE council includes Congress of South African Trade Unions president S’dumo Dlamini, Business Unity of SA CEO Jerry Vilakazi, and businessmen Sandile Zungu and Don Mkhwanazi. Other government officials were Economic Development Minister Ebrahim Patel, Labour Minister Membathisi Mdladlana , and Minister of Women, Children and Persons with Disabilities Noluthando Mayende-Sibiya.
The council would meet at least four times a year in plenaries. But it was expected that the bulk of the work would take place through subcommittees to be established when it convened within six weeks . Motlanthe said it was wrong to think that the government did not want black people to be wealthy, just as it was unwise to dismiss critics of black economic empowerment. “The critics must accept that the exclusion of a large section of our community from productive participation in the economic life of our society is a significant hindrance to our collective prosperity.”
Source: Business Day
Monday, February 25, 2008
Don't sacrifice lives for profit, says Motsepe
No life could be "sacrificed" in the name of profits, mining magnate and businessman Patrice Motsepe told protesting workers at a ferromanganese smelter near Durban on Monday. Speaking to workers, who on Monday staged a protest at the Assmang smelter following Sunday's blast that claimed the lives of five people, Motsepe said: "There is no life that can be sacrificed in the name of profits or making money. I will not tolerate it."
Motsepe, who is the largest single shareholder in African Rainbow Minerals, which is a 50% shareholder in Assmang, said that the circumstances surrounding Sunday's accident appeared to be similar to an accident that happened at the smelter last year. Motsepe spoke to workers after meeting with the Assmang management as well as senior workers' representatives. The explosion and subsequent fire ripped through the number six furnace of the smelter shortly before 5am in Cato Ridge, about 60km from Durban. One person died at the scene while a further four died during the course of Sunday and Monday morning. After addressing the workers, Motsepe told journalist that he could not comment on the cause of the accident until the completion of investigations. "We are not representing shareholders' interests if there is no zero tolerance towards [poor] safety," he said. Following the blast, the smelter's six furnaces were shut down. Motsepe could not immediately say how much the shutdown was costing the company. However, even though the smelter had been shut down, the estimated 700 workers were still expected to report for work to ensure that they were paid.
KwaZulu-Natal provincial minister of social welfare Meshak Radebe and Durban mayor Obed Mlaba also briefly spoke to the protesting workers. Earlier in the day about 100 workers marched from the smelter to the Cato Ridge Country club with a coffin, which they then placed in the middle of a hall where a Labour Department inquiry into a manganese poisoning case at Assmang was being held. The inquiry had to be postponed and was resumed later in the afternoon when the workers returned to the smelter. The inquiry, headed by Vuli Sibisi, is investigating the alleged 40 cases of manganism caused by workers breathing in fumes with airborne manganese particles.
Manganism is acquired by over-exposure to airborne manganese and is a disease that affects the sufferer's central nervous system, leaving them with symptoms very similar to Parkinson's disease and multiple sclerosis. Assmang executive director, Brian Brookeman, was about to give testimony when the workers marched into the hall with their coffin. On Monday, the Labour Department announced that the company would be subject to a second inquiry that would investigate the cause of Sunday's explosion. Labour department spokesperson Zolisa Sigabi said "a full-scale government investigation is under way following yesterday's [Sunday] massive explosion. The inquiry aims at establishing the cause of the tragedy, including any possible negligence or flouting of occupational health and safety measures," she said. On Sunday she said: "Labour inspectors who immediately arrived at the scene have in a preliminary report indicated that it is suspected that a water leakage into furnace number six caused the explosion to occur."
Earlier, National Union of Metalworkers (Numsa) spokesperson Mziwakhe Hlangani said that the company's engineers had ordered that the furnace be shut down before the explosion "after it was detected to have a water leakage". "We do not know how and why it was operated by the night-shift staff operators, because it was declared unsafe to put it [the furnace] in operation and we believe drastic steps after thorough investigations should be taken," Numsa local organiser Siphiwe Ntsele said. He said it was the second blast in nearly three months. He claimed that a worker had died on December 14 2007, in a similar blast.
Labour Minister Membathisi Mdladlana on Monday condemned the blast and vowed to "pull all stops in getting someone to account for the deaths and injuries" in Sunday's incident.
Source: IoL
Motsepe, who is the largest single shareholder in African Rainbow Minerals, which is a 50% shareholder in Assmang, said that the circumstances surrounding Sunday's accident appeared to be similar to an accident that happened at the smelter last year. Motsepe spoke to workers after meeting with the Assmang management as well as senior workers' representatives. The explosion and subsequent fire ripped through the number six furnace of the smelter shortly before 5am in Cato Ridge, about 60km from Durban. One person died at the scene while a further four died during the course of Sunday and Monday morning. After addressing the workers, Motsepe told journalist that he could not comment on the cause of the accident until the completion of investigations. "We are not representing shareholders' interests if there is no zero tolerance towards [poor] safety," he said. Following the blast, the smelter's six furnaces were shut down. Motsepe could not immediately say how much the shutdown was costing the company. However, even though the smelter had been shut down, the estimated 700 workers were still expected to report for work to ensure that they were paid.
KwaZulu-Natal provincial minister of social welfare Meshak Radebe and Durban mayor Obed Mlaba also briefly spoke to the protesting workers. Earlier in the day about 100 workers marched from the smelter to the Cato Ridge Country club with a coffin, which they then placed in the middle of a hall where a Labour Department inquiry into a manganese poisoning case at Assmang was being held. The inquiry had to be postponed and was resumed later in the afternoon when the workers returned to the smelter. The inquiry, headed by Vuli Sibisi, is investigating the alleged 40 cases of manganism caused by workers breathing in fumes with airborne manganese particles.
Manganism is acquired by over-exposure to airborne manganese and is a disease that affects the sufferer's central nervous system, leaving them with symptoms very similar to Parkinson's disease and multiple sclerosis. Assmang executive director, Brian Brookeman, was about to give testimony when the workers marched into the hall with their coffin. On Monday, the Labour Department announced that the company would be subject to a second inquiry that would investigate the cause of Sunday's explosion. Labour department spokesperson Zolisa Sigabi said "a full-scale government investigation is under way following yesterday's [Sunday] massive explosion. The inquiry aims at establishing the cause of the tragedy, including any possible negligence or flouting of occupational health and safety measures," she said. On Sunday she said: "Labour inspectors who immediately arrived at the scene have in a preliminary report indicated that it is suspected that a water leakage into furnace number six caused the explosion to occur."
Earlier, National Union of Metalworkers (Numsa) spokesperson Mziwakhe Hlangani said that the company's engineers had ordered that the furnace be shut down before the explosion "after it was detected to have a water leakage". "We do not know how and why it was operated by the night-shift staff operators, because it was declared unsafe to put it [the furnace] in operation and we believe drastic steps after thorough investigations should be taken," Numsa local organiser Siphiwe Ntsele said. He said it was the second blast in nearly three months. He claimed that a worker had died on December 14 2007, in a similar blast.
Labour Minister Membathisi Mdladlana on Monday condemned the blast and vowed to "pull all stops in getting someone to account for the deaths and injuries" in Sunday's incident.
Source: IoL
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