Question NW2257 to the Minister of Public Works

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07 July 2015 - NW2257

Profile picture: Mubu, Mr KS

Mubu, Mr KS to ask the Minister of Public Works

Whether (a) his department and (b) any entities reporting to him has paid out the remainder of any employee's contract before the contractually stipulated date of termination of the contract since the 2008-09 financial year up to the latest specified date for which information is available; if so, (i) what amount has (aa) his department and (bb) entities reporting to him spent on each such payout, (ii) to whom were these payouts made and (iii) what were the reasons for the early termination of the contracts in each specified case?

Reply:

The Minister of Public Works

With respect to the Department of Public Works:

(a) Yes, the Department of Public Works paid out the remainder of an employee’s contract in the 2012/2013 financial year.

(i) (aa) The amount of R1 523 504.98, was paid out after tax was deducted.

(ii) The above-mentioned amount was paid to a former Director-General in the Department of Public Works.

(iii) The amount was paid as a result of the redetermination of the term of office of the employee.

In most of these cases Government has made a saving, because we settled for an average of six months, instead of the full duration of the employment contract and thus avoided incurring further costs. In other cases the settlements were based on the outcomes of the Commission for Conciliation, Mediation and Arbitration (CCMA) arbitrations.

With respect to public entities:

(b) Apart from the Independent Development Trust (IDT) none of the four public entities reporting to the Department of Public Works paid out the remainder of any employee’s contract before the contractually stipulated date of termination of contract since the 2008/09 financial year up to 31 March 2015. The IDT paid out the following amounts based on the negotiated separation agreements or CCMA arbitration awards against the IDT for terminated contracts involving disciplinary cases:

(i) (bb) Amount paid out

(ii) To whom paid

(iii) Reasons for contract termination

Financial year

R822 102.34

Former Regional General Manager – Limpopo Office

Changes in the business operating environment and changes in organizational requirements and skills demands for the position.

2009/2010

R793 267.94

Former Regional General Manager – Western Cape Office

Changes in the business operating environment and changes in organizational requirements and skills demands for the position.

2009/2010

R646 671.00

Former General Manager: Human Resources – National Office

Incompatible behaviour causing disharmony at work. The case was resolved through a mutual separation agreement.

2011/2012

R1 014 266.00

Former Executive Head: Corporate Services – National Office

Relationship between employer and employee had reached irreconcilable differences. The case was resolved through mutual separation.

2011/2012

R997 204.00

Former Programme Implementation Manager – Limpopo Office

The employee was dismissed for gross irregularities and at arbitration the ruling went against the IDT resulting in the settlement pay out.

2011/2012

R470 224.00

Former Programme Manager: Social Development – North West Office

The employee was dismissed for alleged tender irregularities but the CCMA determined that his suspension had been procedurally unfair and made an award in his favour leading to the four months settlement.

2013/2014

R691 561.00

Former Senior Manager: Human Resources Management – National Office

Incompatible behaviour causing disharmony at work. The case was resolved through a mutual separation agreement.

2013/2014

R437 000.00

Former Programme Manager: Social Development – Limpopo

The employee was charged and dismissed for gross misconduct, but the Employee won the case at the CCMA and was awarded 6 months’ salary pay.

2013/2014

R1 437 004.00

Former Regional General Manager – Eastern Cape Office

Changes in the terms and conditions of employment rendered the employee redundant, leading to a breakdown of relations. The breakdown in relations led to a negotiated mutual separation agreement.

2014/2015

R50 000.00

Former Filing Clerk – National Office

This was an irregular appointment as the individual did not have appropriate qualifications for the position. The contract was then annulled upon which the employee took the matter to the CCMA and the CCMA ruled that there had been procedural unfairness in the handling of the matter and an award of four months’ salary was given.

2014/2015

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