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The Star reports that the Food and Allied Workers Union (Fawu) has blamed its deteriorating finances on ongoing factional battles within the union. Fawu has accumulated debt of more than R12 million, including nearly R5 million owed to labour federation Cosatu for affiliation fees.
Its leaders have also yet to settle costs incurred after they hired lawyers to represent the union when axed provincial leaders took them to court for fighting several union decisions, including Fawu's stance on Cosatu. The union is holding its national congress where delegates will decide whether to leave Cosatu for a new labour federation to be formed by next year. If members vote yes, the union will not have to pay its debt to Cosatu. The union will also need to figure out how to cut its massive wage bill, which currently stands at more than 55% of its total spend at R36.5 million for a total staff complement of 130. On Tuesday, the union's internal squabbles took centre stage while its secretariat report was being discussed. The congress continues on Wednesday, when new leaders are to be announced.
- Read this report by Theto Mahlakoana in full at The Star
- Read too, Fawu set to part ways with Cosatu, on page 5 of The Star of 27 August 2016
Get other news reports at the SA Labour News home page