Question NW3694 to the MINISTER OF AGRICULTURE, FORESTRY AND FISHERIES
03 November 2015 - NW3694
Matshobeni, Ms A to ask the MINISTER OF AGRICULTURE, FORESTRY AND FISHERIES
In light of the claim by the workers at Magwa Tea Plantation in Ntabankulu, Eastern Cape, that they have not been paid since July 2014, which is contrary to his claim in his reply to question 2366 on 13 July 2015, what steps does he intend to take to ensure that the specified workers are paid their salaries on time? NW4362E
Reply:
The provincial department of agriculture in the Eastern Cape called the Department of Rural Development and Agrarian reform has reported that R1.9 million was paid to Magwa tea plantation for the workers’ salaries in 2015/16. The province has indicated that this amount is what they could afford in the current financial year but there is a huge backlog. This project is funded through the equitable share and was never funded through the conditional grants. The Department of Agriculture, Forestry and Fisheries (DAFF) has been informed that a business rescue plan has been developed which indicates that at least R66 million is needed to turnaround the business, this figure includes outstanding payments due to workers. The DAFF welcomes the business rescue plan and will set up a team to verify this report by the province and determine the actual outstanding payments to workers as well as support the province in its bid to get additional funding to support the project. It is stated that the business is currently not profitable and no assurances can be made for workers to be paid their salaries on time under current situation.