In our Tuesday morning roundup, see
summaries of our selection of recent South
African labour-related reports.
|
Absa appoints new CEO from Standard Bank after shock Sunday night resignation News24 reports that Absa has named former Standard Bank deputy CEO Kenny Fihla as its new chief executive after he suddenly resigned from his former employer on Sunday night. The two rival banks made early morning statements on Monday announcing the executive changes, with Absa saying Fihla's appointment as CEO is effective from 17 June 2025, subject to regulatory approval. Absa added that its current interim CEO Charles Russon, who will stay on in that role until Fihla takes over, will work closely with its new leader to ensure a smooth transition, after which he will take a key senior role within the group executive committee. Absa has been looking for a new permanent CEO since Arrie Rautenbach took early retirement, with effect from October 2024, amid an internal storm over the slow pace of transformation. Standard Bank said separately that Fihla had tendered his resignation on Sunday night and would commence his ‘gardening leave’ as of Monday. Fihla, who holds a master's in financial economics from the University of London and an MBA from the University of the Witwatersrand, had been tipped as the future successor to Standard Bank's current CEO Sim Tshabalala. Fihla, who was also CEO of Standard Bank’s South African operations, was named deputy group CEO in an executive shakeup announced in August 2024. "The necessary succession planning measures will be announced in due course," Standard Bank said. Read the full original of the report in the above regard by Garth Theunissen at Fin24 (subscription or trial registration required) Standard Bank’s ‘heavy blow’ benefits Absa BL Premium reports that Standard Bank CEO Sim Tshabalala has described the abrupt resignation of his second-in-command Kenny Fihla, as a “heavy blow” for Africa’s largest bank by assets. On Monday, the lender informed the market that Fihla had relinquished his role as deputy CEO in a surprise move that saw him opt to join smaller rival Absa as its new CEO in June. “While this is a heavy blow for us, the group is blessed with a surfeit of talent and deep succession pools. Further announcements in respect of the leadership of our geographies will be made in due course,” Tshabalala said in a statement, which indicated Fihla tendered his resignation on Sunday night. Fihla was largely seen as a possible successor to Tshabalala after he was granted more powers at the group in sweeping executive changes in September – which essentially put a large chunk of the bank’s operations under his guidance and earned him a place on the board. His elevation to the role of deputy CEO saw him assume responsibility for both Standard Bank SA and the group’s Africa regions. It remains to be seen whether Standard Bank will retain the deputy CEO role – reinstated last year after a decade. Fihla becomes the seventh Absa CEO, either on an acting or permanent basis, since 2019 following years of leadership turmoil at the bank. Fihla’s appointment as Absa’s CEO means that for the first time, three of SA’s largest banks, namely Standard Bank, FirstRand and Absa, will be led simultaneously by black CEOs. Read the full original of the report in the above regard by Kabelo Khumalo at BusinessLive (subscriber access only). Read too, Absa's CEO scoop a win, say analysts - but where does this leave Standard Bank? at Fin24 (subscription or trial registration required) Other internet posting(s) in this news category
Eskom halts services to parts of Khayelitsha after armed gang holds up staff on Sunday News24 reports that Eskom has suspended its services in Makhaza, Khayelitsha, following an armed robbery targeting its employees who were in the area to restore electricity. In a statement, the power utility said its staff had been held at gunpoint on Sunday afternoon. "Unfortunately, this means there will be significant delays in electricity restoration efforts, and affected customers are likely to experience prolonged outages," it said. Eskom's senior management and internal security team will meet with police and local leaders later this week to discuss the attack and measures to ensure staff safety before services resume. Due to frequent attacks on workers, Eskom employees are often escorted by armed private security, police, or metro police when carrying out their duties. The escalating violence in Makhaza comes just weeks after an ambulance was hijacked, and a group of seven men raped one of the emergency medical services (EMS) personnel. The suspects remain at large. Read the full original of the report in the above regard by Velani Ludidi at News24 (subscriber access only) Suspects arrested in connection with murder of JMPD officer outside her home on 7 March The Citizen reports that the Johannesburg Metropolitan Police Department (JMPD) has arrested suspects accused of murdering an officer. JMPD’s tactical response unit (TRU) arrested five suspects in Alexandra on Saturday, just over a week after the shooting incident in an adjacent suburb. Officer Judith Makwela was shot dead outside her home in River Park on the afternoon of 7 March. Makwela’s son and a bystander were also injured in the shooting. Authorities raided a home in Riverside on Saturday, with a suspect there giving officers additional information that led to the arrest of the others. In total, four men and one woman were apprehended and detained at Alexandra police station on charges of murder and possession of unlicenced firearms. Police confiscated two firearms, multiple rounds of ammunition, an air gun and two firearms from the suspects. “The swift and decisive action of our TRU in apprehending these suspects demonstrates our unwavering commitment to ensuring justice for Officer Makwela and her family,” said JMPD Chief of Police Patrick Jaca. On the morning of the arrests, JMPD units and officials held a parade and a memorial service for the slain officer at the Marlboro Community Centre. Read the full original of the report in the above regard by Jarryd Westerdale at The Citizen Other internet posting(s) in this news category
Solidarity plans to limit staff ‘exodus’ in wage talks with FlySafair BL Premium reports that wage talks between local and regional airline FlySafair and trade union Solidarity are set to kick off on Thursday. Solidarity’s network organiser for the aviation industry, Remon Viviers, said the union was preparing to enter into the salary negotiations with the aim of improving the employment conditions of pilots so as to limit the “exodus” of skilled personnel for greener pastures overseas. “These negotiations are of critical importance as several factors are forcing pilots to consider other job opportunities. The negotiations are not only aimed at securing competitive salaries for pilots, but also at improving their working conditions and general wellbeing,” Viviers said. He would not say what the union’s wage demands were, as talks had not yet got under way. However, the union would demand a competitive package that would stop pilots from leaving for international careers, he stated. Viviers commented further: “The union remains committed to negotiating a fair and sustainable agreement for its members and ensuring that FlySafair will be able to maintain its position as a reliable and stable airline.” Aviation expert Guy Leitch said when one looked at the standard of living and buying power, SA pilots – while “not very badly paid” – were not among the best paid in the world. “The question is: is the pay good enough to keep pilots employed locally? The answer is no,” he indicated. Meanwhile, Viviers accused FlySafair of introducing a new rostering system that has had a “significant negative impact on pilots’ quality of life”. Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive (subscriber access only)
Exxaro says NUM claims over Ben Magara are “unfounded” Miningmx reports that according to Exxaro Resources, a meeting with the National Union of Mineworkers (NUM) scheduled for Monday regarding “unfounded allegations” by the union failed to take place. This was after the NUM issued a statement earlier on Monday in which it rejected the recent appointment of Ben Magara as the coal miner’s CEO, effective from 1 April. The union fired off a number of accusations including its view that Exxaro’s board orchestrated the resignation of its former CEO, Nombasa Tsengwa. The union also said Magara had a conflict of interest as a non-executive director of Exxaro and of shipping and logistics company Grindrod (since relinquished). Exxaro had awarded contracts to Grindrod at Magara’s behest, it alleged. An Exxaro spokesperson advised: “We were due to meet with the NUM Highveld regional leadership on Monday 17, but they did not attend the meeting. This is a pity as it would have provided an opportunity to deal with the unfounded allegations raise by the regional leadership.” Tsengwa resigned in February over the handling of a probe into allegations over her conduct which included claims related to “workplace conduct and governance practice”. Law firm ENS was enlisted to conduct an independent investigation, but Tsengwa said it amounted to “a predetermined outcome, which I refuse to subject myself further to”. Magara’s appointment was met with applause and cheers when it was announced on 13 March. Read the full original of the report in the above regard by David McKay at Miningmx Other general posting(s) relating to mining
Lower inflation foreseen for 2025, as well as lower wage growth expectations BL Premium reports that according to a survey of inflation expectations for the first quarter of 2025 conducted by the Bureau for Economic Research (BER), respondents expect headline consumer inflation to average 4.3% this year, down from a previous estimate of 4.5%. Looking further ahead, inflation is expected to rise gradually to 4.7% by 2027. The five-year inflation outlook has also been revised marginally higher to 4.7%. Among the most notable shifts in the survey was the decline in household inflation expectations, which fell to 5.7% for the year ahead, down from 6.6% in the previous survey. The survey respondents included economic analysts, businesspeople and trade union officials, who each provided independent forecasts based on their respective perspectives. Analysts were the most optimistic, expecting inflation to average 3.9% in 2025 before stabilising at 4.3% over the next two years. Business respondents foresaw a slightly higher inflation rate of 4.6% this year, rising to 4.8% in 2026. Trade union officials, however, remained more cautious, projecting an acceleration in inflation to 5.0% by 2027. The survey also reflected lower wage growth expectations, suggesting that workers might not see notable salary increases in the near future. Respondents expected average salaries and wages to rise 4.5% this year, down from an earlier forecast of 4.9%. Wage growth is expected to pick up slightly to 4.8% in 2026, though still lagging behind past increases. Read the full original of the report in the above regard by Jana Marx at BusinessLive. Read too, Analysts revise South Africa's inflation outlook amid cautious optimism, at Business Report Other internet posting(s) in this news category
Standard Bank boss Sim Tshabalala earned R89m in 2024, while staff got average of ‘3% raise’ Sunday World reports that Standard Bank Group chief executive Sim Tshabalala saw his total remuneration package in 2024 rise by 7.1% to a cool R89 million, from the R83 million he earned in 2023. Among other benefits, Tshabalala’s income included R11,879,000 in fixed income and R24 million in short-term incentives. Kenny Fihla, who was announced as the bank’s group deputy chief executive in August 2024 and who has since resigned to take up the CEO post at Absa, saw his total remuneration package decrease to R67,292,000 from R69,903,000 in 2023. Group chief finance office Arno Daehnke’s remuneration package saw a marginal increase from R68,057,000 to R68,359,000 The total remuneration packages of Standard Bank’s top nine managers rose to R495 million. The bank’s chairman, businesswoman Nonkululeko Nyembezi-Heita, pocketed just above R8 million for her efforts. These financial rewards came as Standard Bank Group saw its profit grow by 11% to R19.7 billion for the 2024 financial year. But, while the top managers grinned all the way to the bank, the bank’s staff were not so lucky. The 2024 annual report shows that the bank’s total staff costs, inclusive of salaries and wages, averaged a 3% increase to R32.8 billion. Read the full original of the report in the above regard by Mpho Sibanyoni at Sunday World Vice-chancellors at three SA universities earned R6 million or more in 2023 News24 reports that Wits University vice-chancellor Professor Zeblon Vilakazi's annual remuneration was R6.8 million in 2023, while Professor Francis Petersen, who is now the vice-chancellor of the University of Pretoria, earned R6 million while he was at the helm of the University of the Free State. In addition, the University of Limpopo's Professor Mahlo Mokgalong also took home R6 million in 2023. Professor Thoko Mayekiso and Professor Andrew Crouch, who run the country's smallest institutions, namely the University of Mpumalanga (UMP) and Sol Plaatje University (SPU) in the Northern Cape, respectively, earned more than their peer from the University of KwaZulu-Natal (UKZN), Professor Nana Poku. Mayekiso and Crouch received annual remuneration of R5.3 million and R5.2 million, respectively, compared to Poku's R4.5-million annual package. "It really does not make sense for someone to get such high salaries noting the challenges of financial resources needed for higher education and the extremely high debts that most institutions are in," said Professor Labby Ramrathan from UKZN. In his view, payments to vice-chancellors should be based on criteria such as the size and complexity of a university. "The amounts paid to VCs must be reduced substantially because they also receive a lot of perks," he added. A report compiled by the Council on Higher Education (CHE), which was released last year, recommended that guidelines and policy frameworks should be developed and strengthened with an eye to cap executive remuneration. Ahmed Essop of the Ali Mazrui Centre for Higher Education Studies at the University of Johannesburg said a debate was needed about appropriate remuneration for vice-chancellors. "These are public institutions that are funded by the state. They are not-for-profit organisations. There needs to be a framework within which public institutions determine the salaries of vice-chancellors," he pointed out. Read the full original of the report in the above regard by Prega Govender at News24 (subscription or trial registration required)
Former top Lotto official loses bid to draw R1,2m from his frozen pension fund SowetanLive reports that Marubini Ramatsekisa, a former chief risk officer for the National Lotteries Commission (NLC), has failed in his bid to have R1,2m released from his pension fund so that he can fund his litigation and living expenses. On Monday, Judge Margaret Victor of the Special Tribunal dismissed Ramatsekisa’s application, saying information showed he had not made a full and frank disclosure of his financial situation. In December 2023, the Special Investigating Unit (SIU) obtained an order from the tribunal interdicting the pension payout due to Ramatsekisa, who is accused of orchestrating a scheme that resulted in the NLC losing about R4m. Delivering her ruling, Victor said: “Whilst he [Ramatsekisa] has provided great detail on his living expenses and legal expenses, and his dire position vis-à-vis his creditors, he has failed to advise this tribunal what he did with the proceeds of a property he appears to have sold during these proceedings.” She went on to indicate: “He has also failed to explain the rental he receives from his remaining properties. He has failed to explain how he gets to live in an affluent golfing estate without showing how he is funding that lifestyle. What is more, the applicant has not disclosed a bona fide reason why he has not sold off his remaining properties to meet his expenses. His suggestion that because a property is mortgaged it cannot be sold off is implausible.” Read the full original of the report in the above regard by Jeanette Chabalala at SowetanLive Other internet posting(s) in this news category
Free State teachers denied medical care due to state’s non-payment of GEMS contributions SABC News reports that the National Professional Teachers’ Organisation of SA (Naptosa) says 20,000 to 30,000 teachers in the Free State have been denied medical care due to the non-payment of medical aid contributions by the Free State Department of Education. Apparently the department has been deducting the contributions from employees, but the contributions have not been paid over to the Government Employees Medical Scheme (GEMS). Naptosa has demanded urgent intervention from the Free State Premier Maqueen Letsoha-Mathae and the National Treasury. Naptosa’s Basil Manuel indicated: “We got to know about this on Friday late afternoon and Saturday morning. We then sent emails to the MEC, to the HOD and to the Premier to ask for verification. We also asked GEMS to give us verification of the payment or non-payment. And we’ve had a response giving us a detail that the money is on its way but that’s not good enough.” He added: “So this morning (Monday), we will be reaching out to the province as well as to GEMS to try and get a clear understanding of whether it is the entire province and the entire public service in the province whose medical aid hasn’t been paid. If it’s a sector or exactly what the situation is.” Read the original of the report in the above regard at SABC News
Sassa employees slapped with over 1,100 fraud-related charges in grant card scam News24 reports that the National Prosecuting Authority (NPA) has levelled a whopping 1,112 charges against five SA Social Security Agency (Sassa) officials accused of defrauding the agency in a grant card scam. The five – Phumelele Myeza, 37, Paul Bones, 49, Keamogetswe Irene Ledwaba, 49, Siphesihle Phumzile Dlamini, 30, and Phiwe Mkhuzangwe, 37 – were arrested over the weekend and made their first appearance in the Lenasia Magistrate's Court on Monday. The five were arrested initially on 54 counts of fraud. They were visibly shocked when 1,112 charges were brought against them on Monday. Bones, Dlamini, and Mkhuzangwe were apprehended at a Sassa branch in Johannesburg, where they are employed, while Ledwaba was arrested at her home in Soweto. Myeza turned herself in on Sunday. A sixth employee surrendered to authorities on Monday morning. The five who appeared on Monday will join four other Sassa employees arrested last month in connection with the same case. It is alleged that the suspects created fake Sassa accounts and withdrew money using those cards from various supermarkets across Gauteng. The matter was postponed until Tuesday. NPA spokesperson Phindi Mjonondwane said: "We are broadening our investigation into this Sassa syndicate. We hope more suspects will soon join the nine we have in custody. The investigation is still in its early stages.” Read the full original of the report in the above regard by Ntwaagae Seleka at News24 (subscription or trial registration required). Read too, More charges added as Sassa officials face over 1,300 counts in R260 million fraud scheme, at IOL News Other internet posting(s) in this news category
Ipid backtracks, claims to have erred in attributing ‘complaint’ about Mkhwanazi to Mchunu City Press reports that the police watchdog has made a U-turn after the newspaper revealed that Police Minister Senzo Mchunu was behind a complaint of interference against KwaZulu-Natal's top cop, Lieutenant-General Nhlanhla Mkhwanazi. On Monday, the Independent Police Investigative Directorate (Ipid) issued a statement saying that a letter confirming an investigation into Mkhwanazi had mistakenly attributed the complaint to the minister. Ipid added that the complaint had been received from an anonymous source. The complaint related to claims that Mkhwanazi had interfered with the arrest of Nelly Ndlovu, the former Westville Maximum Prison head, on suspicion of running a drug cartel at the correctional service facility in Durban. The original story published by City Press was based on a letter dated 12 March 2025, signed by the acting national head of investigations, Thuso Keefelakae. The letter stated that the complainant was Mchunu. Ipid's statement on Monday indicated: “It should be noted that the letter written to Lt-General Mkhwanazi by the Ipid’s acting head of investigations that the police minister requested Ipid to investigate the provincial commissioner was erroneously written and that the probe was a result of an anonymous complaint from the public.” On Monday, Ipid spokesperson, Lizzy Suping could not explain how the error that the minister had lodged the complaint had been made and did not comment further on the implications of the supposed error. Read the full original of the report in the above regard by Sipho Mabena at City Press (subscription or trial registration required). Read too, 'I have not laid any complaint against Lt-Gen Mkhwanazi'- Police minister clarifies IPID investigation, at IOL News
|
Get other news reports at the SA Labour News home page