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BusinessLive reports that Bongisizwe Mpondo, the administrator of the Passenger Rail Agency of SA (Prasa), will meet disgruntled trade unions on Friday over the utility’s proposal to retrench workers.
He was appointed by transport minister Fikile Mbalula in December 2019 to fix the ailing state-owned rail and bus operator. Prasa, which admitted in March that it was going through a “debilitating cash flow crunch” and which has failed over the past two months to pay over R23m to employee retirement funds, announced this week it was considering implementing job cuts through voluntary severance packages. It has an estimated 17,000 workforce. Unions have accused Mpondo of acting in bad faith in trying to address the challenges, saying he contributed to the financial woes. The United National Transport Union (Untu), which is the majority union at Prasa, claimed that Mpondo contributed to the cash flow problem after he appointed a panel of technical advisers for his 12-month tenure. Lubabalo Tinzi of the SA Transport Allied Workers Union (Satawu) said: “Mpondo is disgusting with the attitude he is adopting against labour. He is not presenting anything tangible to persuade unions to consider his proposal to reduce the headcount.”
- Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive
Get other news reports at the SA Labour News home page