Parliament, Wednesday, 28 August 2019 – The Portfolio Committee on Mineral Resources and Energy is unequivocally opposed to any plans to implement section 81 of the Labour Relations Act, as a response to current cash shortfalls, at the South African Nuclear Energy Corporation SOC Ltd (NECSA).
In a presentation about its legislative mandate, challenges and proposed intervention, during the committee's oversight visit on Wednesday, NECSA reported a cash shortfall of R463 million in the 2018/19 financial year and projected a further R325 million cash shortfall by the current financial year.
Chairperson of the committee, Mr Sahlulele Luzipo, said: “Although a turnaround strategy will be finalised in two months, in the meantime, the committee should be provided with a written plan that will be implemented urgently to prevent imminent job losses. We also invite the organised labour to also write to the committee with regard to what they believe to be problem areas within the entity and proposed intervention.”
The committee further requested NECSA and subsidiaries, including NTP Radioisotopes SOC Ltd and Pelchem SOC Ltd, to provide information with regard to board structures, mandate as well as remuneration packages.
The information is expected to reach the committee by no later than 13 September 2019.
The committee, however, welcomed NECSA’s commitment to work on a consultative turnaround strategy that will address current cash losses and further guarantee long term sustainability.
“We are interested in the root cause of cash losses and, if human factor was involved, consequence management must be applied", said Mr Luzipo.
ISSUED BY THE PARLIAMENTARY COMMUNICATION SERVICES ON BEHALF OF THE CHAIRPERSON OF THE PORTFOLIO COMMITTEE ON MINERAL RESOURCES AND ENERGY, MR SAHLULELE LUZIPO.
For media enquiries or interviews with the Chairperson, please contact the Committee’s Media Officer:
Name: Mr Justice Molafo
Tel: 021 403 8444
Cell: 081 424 7481
Email: jmolafo@parliament.gov.za
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