Lay-offs loom, yet SABC brass earn R24m
Exorbitant pay of executives decried as 2 000 workers face retrenchments by cash-strapped public broadcaster
THE remuneration of SABC executives has been slammed as exorbitant amid the public broadcaster’s plans to retrench more than 2 000 employees.
Communications Minister Nomvula Mokonyane yesterday revealed that executives pocketed R24 million a year in reply to an oral question in the NCOP from the IFP’s Mntomuhle Khawula.
Mokonyane said the annual remuneration of the current group chief executive was R5.1 million, that of the COO R4m and the CFO R3m a year.
“These packages are significantly lower than those of previous directors. They amount to 1% of the salary bill and the overall benefits of 10 group executives amount to R24.7m.”
Mokonyane said the previous chief executive received R7.2m, the COO R15.4m and the CFO R4.1m.
The release of the figures comes as pressure is mounting on the SABC to discontinue with retrenchments of about 2 000 employees and a push by the DA for the executives’ salaries to be made public.
But Khawula questioned the justification of the salaries in view of the financial situation at the SABC where thousands face retrenchments.
“People are to lose jobs and somebody earns R5.1m. As this government what are you doing?” he asked.
Mokonyane said it was because of the exorbitant salaries that they engaged with the SABC board to turn around the public broadcaster before laying off workers. “There has to be a review of the model of running the SABC, including ourselves as lawmakers to review the funding model, how we attract skills…”
It has been agreed in government that there should be a turnaround task team comprising National Treasury, the Department of Communications and SABC to reflect on the matters and that the board not implement the Section 189 process, she said.
“There has not been sufficient consultation and a skills audit. We will continue to work on this,” said Mokonyane, adding the task team would give a progress report in three weeks’ time. “It is the intention of SABC management to lay off staff. We will continuously advise and instruct the SABC board not to until they follow the Section 189 process.”
The DA’s Farhat Essack said it was shocking that senior executives received R45m despite the SABC’s R622m loss in the last financial year.
“Instead of taking action for failure, top executives are rewarded by the ANC government,” Essack said.
Asked about the impact of retrenchment on the already demoralised staff, Mokonyane said there were serious challenges at the SABC, financially and in its capacity to execute its mandate.
She told MPs that the government as a shareholder had not agreed with the SABC on retrenchment, saying they had not complied with Section 189 and hence the outcry from labour.
“We hope the meeting with Treasury and the board will appreciate that they can’t lay off staff before developing a better vision for the SABC.”
She said government wanted the SABC to try everything such as a skills audit and also staff training and reskilling in light of digital migration.
“Retrenchment must be the last recourse. The shareholder has not given the go-ahead,” Mokonyane said.
Cosatu said it was silly for Mokonyane to want to explain the salaries of executives away by comparing those of the previous year. “If you say the organisation is in crisis, then you must act like it is in crisis,” spokesperson Sizwe Pamla said. He also said it was unfair that livelihoods were to be destroyed, yet someone earned R5m. “How do you explain some people are to be unemployed and others are given exorbitant salaries?” Pamla asked.
Bemusa president Hannes du Buisson said: “It is shocking to hear that they earn that much a year. We believe there can be significant cuts.” Monies could also be recovered from those irregularly promoted, he said.