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News24 reports that the broke Amathole District Municipality (ADM) will now pay its employees their salaries as the internal circular, in which workers were informed that they will not receive salaries for February, April, May and June, has been withdrawn.
In a statement on Tuesday, Mayor Khanyile Maneli said this followed meetings with the national and provincial governments on 15 January. "The meeting resolved on the establishment of a multi-disciplinary task team whose task is to strengthen and implement a sustainable financial recovery plan for the Municipality. We have full confidence in the engagements of the task team that they will yield positive results, hence the withdrawal of the initial circular. I must reiterate our commitment as the leadership of the institution to turn the fortunes of our district for the better whilst servicing our communities," Maneli indicated. The council’s 1,670 workforce, which includes municipal workers, councillors and traditional leaders, costs ADM a staggering R65m per month in salaries. For the past two years, the council has been heavily relying on bank overdrafts to pay its workers. The establishment of the Amathole task team comes a week after the Democratic Alliance (DA) in the Eastern Cape wrote to Cogta MEC Xolile Nqatha, asking him to establish a specialised task team to evaluate the financial sustainability of all the municipalities in the Eastern Cape.
- Read the full original of the report in the above regard by Malibongwe Dayimani at News24
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