Parastatal CEO fights suspension
Board and Mtimde go head to head
A chief executive with strong ties to the ANC has been suspended from his post at a parastatal following a fallout with the board.
Lumko Mtimde, CEO of the Universal Service and Access Agency of SA (Usaasa), has taken the agency to the Labour Court to challenge his suspension. He has also asked public protector Busisiwe Mkhwebane to investigate alleged abuse of power by the board.
At the heart of his fight is disagreement over the appointment of a company secretary by the board.
Mtimde has claimed that the appointment was irregular and in contravention of various legislation.
However, Usaasa has accused Mtimde of various acts of misconduct, including being absent from work without authorisation; failing to resign from the boards of other entities and undermining the authority of the board by “inducing the company secretary to take a lower salary than she was promised”.
Mtimde confirmed yesterday that he was on precautionary suspension but refused to comment further.
Usaasa is a government agency responsible for rolling out information and communication technology infrastructure.
“The CEO was placed on precautionary suspension pending a disciplinary hearing,” agency communications specialist Keitumetse Hlahatsi said. Mtimde took the Usaasa board to the Labour Court on an urgent basis last month. “His application was dismissed with costs. Disciplinary hearings are internal processes between the employer and employee and as such they are confidential unless permission is obtained from the employee.” Although the court dismissed Mtimde’s urgent application, a hearing into the substance of the case is yet to be heard. Mkhwebane’s spokesman Oupa Segalwe said the public protector was probing the board. “The investigation is still in its early stages.”