Today's Labour News

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transnetlogo thumb100 Engineering News reports that Transnet on Monday confirmed that Siyabonga Gama had been fired as the freight rail operator's chief executive officer and said it was in line with a government drive to turn around State-owned entities.  

Transnet said it informed Gama of its decision on Sunday and Monday would be his last working day.  It noted that he had failed to meet the deadline to submit reasons why his contract should not be terminated.  He will be paid his salary for six months, instead of serving a notice period.  The board served notice of its intention to fire Gama after he was implicated in misconduct and maladministration relating to Transnet's R54-billion contract to procure locomotives from China South Rail and China North Rail some six years ago.  Gama approached the labour court to try to interdict Transnet from firing him.  The court last week ordered that the case be referred to arbitration, but the board said this in itself did not stop it from taking a decision based on Gama's failure to submit reasons why he should not be dismissed.  Board chairperson Popo Molefe said that as for the board it was essential that the relationship between the board and the head of its management team was based on trust and confidence, but Gama’s conduct had been found to be incompatible with that culture.

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