Today's Labour News

newsThis news aggregator site highlights South African labour news from a wide range of internet and print sources. Each posting has a synopsis of the source article, together with a link or reference to the original. Postings cover the range of labour related matters from industrial relations to generalist human resources.

DenelReuters reports that state-owned arms manufacturer Denel did not pay senior staff their salaries in full in September, the company confirmed on Friday.  

The company has been grappling with a liquidity crunch after becoming embroiled in corruption scandals during former president Jacob Zuma’s scandal-plagued tenure.  “In September management salaries were not paid in full,” Denel spokeswoman Vuyelwa Qinga indicated, adding the cuts were due to “liquidity challenges”.  Executives were paid 80% of their salaries while specialists were paid 85%.  Qinga said regular employees were paid in full and that the company was working with the government to find a solution to its funding challenges.  In April, President Cyril Ramaphosa oversaw the appointment of a new board at Denel and the company subsequently suspended its chief financial officer over misconduct allegations.  According to labour unions, it is critical that Denel receives financial support – either via additional government guarantees or a capital injection.

  • Read this report by Alexander Winning in full at Moneyweb


Get other news reports at the SA Labour News home page