Press Statement dated 19 July 2019

The United National Transport Union (UNTU) has appealed to Government to force state-owned enterprises (SOE’s) or any service providers whom receives funding from South African taxpayers, to procure and purchase locomotives and train coaches locally.

Steve Harris, General Secretary of UNTU, says South Africa would never be able to address its unacceptable high unemployment rate of 27.6 % if Transnet, the Passenger Rail Agency of South Africa (PRASA), the Bombela Operating Company and the Gautrain Management Agency (GMA) are allowed to continue procuring rolling stock from countries such as China, Spain and the United Kingdom (UK).

Harris was reacting to the announcement of the GMA that is considering procuring pre-owned trains from the UK. The GMA wants to obtain 30 wagons for the Gautrain O.R Tambo-route.

According to GMA, a tender process to secure 12 new four-train sets for the Gautrain failed to deliver the desired results at the end of 2018.

“That is simply not good enough. If the local suppliers like Transnet Engineering (TE), the engineering division of Transnet that focusses on manufacturing, upgrading, repair and maintenance of railway rolling stock, is not up to the task now, then they need to be equipped to do the job.

“We continue to allow job opportunities to be lost while more than 4 000 skilled TE employees are not upskilled for the challenges faced by the company. The retention of jobs and the creation of more jobs in the railway industry is key if Government would want to adhere to its National Development Plan (NDP),” says Harris.

The NDP aims to eliminate poverty and to reduce inequality by 2030. It will be done if the country draws on the skills and energy of its own people, grow an inclusive economy, build capabilities, enhance the capacity of the state, and promote leadership and partnerships throughout society.

Despite the goals set out in the NDP South Africa is also faced with the severe challenges that the Fourth Industrial Revolution (4IR) presents.

Harris says President Cyril Ramaphosa warned in his State of the Nation (SONA) address that countries who do not anticipate the 4IR and adapt to it, will be left behind and will find themselves less competitive.

“UNTU believes that Government must pay an instrumental role in ensuring that job opportunities, especially those funded with taxpayer’s money, remain local, that workers are upskilled and that more jobs are created. South Africa is very far from addressing the high levels of inequality or creating decent jobs for all,” says Harris.

Issued on behalf of United National Transport Union (UNTU) by Sonja Carstens, Media and Liaison Officer