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BL Premium reports that the leadership crisis at state logistics company Transnet has deepened, with the head of the rail division, Siza Mzimela, tendering her resignation on Thursday.
This came days after the abrupt departure of CEO Portia Derby and CFO Nonkululeko Dlamini last week. The exit of the trio comes as the drive to reform the organisation gains momentum and as the board prepares to present a performance turnaround strategy to public enterprises minister Pravin Gordhan at the end of October. The turnaround plan will include a review of skills and management. The state-owned company has faced myriad crises, including inefficiencies, theft, vandalism and a deteriorating financial performance, with a devastating effect on the economy. Under Mzimela, Transnet Freight Rail (TFR) has been blamed for an unreliable rail network, which has forced big business to divert the transport of goods to the more expensive road network. The high-profile resignations at Transnet have been broadly welcomed, particularly by big business, which has long been lobbying for an overhaul of its management. The Minerals Council SA, the Durban Chamber of Commerce and labour unions have all called for the dismissal of the company’s executives. The Transnet board apparently held high-level meetings this week to chart a way forward. Transnet has appointed Russell Baatjies to take over from Mzimela as acting CEO from 1 November. Michelle Phillips, CEO of Transnet Pipelines, will replace Derby in an acting capacity until a permanent replacement is found, while Hlengiwe Makhathini will act as CFO in Dlamini’s place.
- Read the full original of the report in the above regard by Hajra Omarjee, Denene Erasmus & Thando Maeko at BusinessLive
- Read too, Transnet Freight Rail chief Mzimela tells mining industry quitting was a 'personal choice', at Fin24
- And also, Transnet Freight Rail boss resigns and hopes ‘current warzone will return to normality’, at The Citizen
Get other news reports at the SA Labour News home page