Latest news with #AlanBeesley
IOL News
21-06-2025
- Business
- IOL News
R1. 4bn wasted: Sapo's epic failure
THE SA Post Office (Sapo) has been declared financially 'unsustainable' and riddled with systemic mismanagement. Image: Independent Newspapers Archives THE SA Post Office (Sapo) has been declared financially 'unsustainable' and riddled with systemic mismanagement after receiving its fourth consecutive failed audit opinion from the Auditor-General of South Africa (AGSA), sparking outrage from MPs who demanded answers on why the failing institution keeps consuming public money. AGSA's damning report, presented to Parliament's Standing Committee on Public Accounts (Scopa) on June 11, exposed: R152 million lost to fruitless and irregular spending in 2023/24, with R136 million dismissed without repercussions. A dismal 13% achievement rate on performance targets, despite a R381m bailout from the Unemployment Insurance Fund (UIF) for staff salaries. R86 million paid to business rescue practitioners (BRPs) and advisors since 2023, with little progress to show. No stable leadership, severe staff shortages, and repeated violations of the Public Finance Management Act (PFMA). AGSA officials delivered a stark verdict: Sapo is being propped up by taxpayer funds. 'Costs keep outstripping income. Debts are mounting, and the organisation isn't earning enough to survive,' said AGSA's Makhai Motshekga. ActionSA's Alan Beesley was more blunt: 'It's time to pull the plug. Sapo cannot be saved.' The BRPs, brought in July 2023, have already burned through R86m, including payments to consultants, tax experts, and lawyers. The EFF's Ntombovuyo Mente-Nkuna demanded answers: 'Who are these advisors? What have they actually fixed? We can't keep throwing money at a sinking ship.' Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ AGSA's Nathan Lawnet said the BRPs — from firms SNG and Legae — were 'qualified' but admitted survival depends on 'new income sources and partnerships,' which still don't exist. MPs pressed AGSA on Sapo's unaccounted-for assets, with Mente-Nkuna noting rural branch closures force grant recipients to travel far. 'How many buildings does Sapo still control? Why aren't they helping our communities?' she asked. AGSA confirmed Sapo owns properties and old equipment, but said almost nothing has been upgraded in years. Postbank's separation from Sapo — required by banking laws — has created confusion. Though Postbank is now audited independently, it still depends on Sapo's failing systems. ANC's Gijimani Skosana warned: 'Postbank once helped fund Sapo. Now, both are drowning.' Wasteful spending continues unchecked, with R200m squandered since 2021. Mente-Nkuna slammed the impunity: 'R136 million just written off? Who checked this? Who was held responsible?' AGSA admitted probes were lacking, blaming write-offs on debt settlements, not internal crackdowns.
The Herald
28-05-2025
- Business
- The Herald
ActionSA demands Meth's dismissal for 'failing' to address unemployment
ActionSA has called for the dismissal of employment and labour minister Nomakhosazana Meth for her 'failure' to address the unemployment crisis in the country. In the first quarter of 2025, the unemployment rate increased by 1 percentage point to 32.9% from the fourth quarter of 2024, leaving millions of people without jobs and others discouraged to look for work. ActionSA MP Alan Beesley said Meth had failed to present a plan to address the issue. ' There is a glaring absence of any meaningful strategy, either in planning or implementation, and despite full awareness of South Africa's worsening unemployment crisis, Meth has failed to present a coherent plan to stem job losses, support the informal economy or tackle the systemic barriers that keep young people out of the workforce,' Beesley said. 'ActionSA believes that something has to give. Sitting on our hands while millions suffer is simply not an option. We are committed to using every available lever to ensure that South Africa's unemployment crisis is addressed with the urgency it demands.'
IOL News
14-05-2025
- Business
- IOL News
Political parties urge immediate action as unemployment hits 32. 9% in South Africa
Political parties criticise the GNU's inaction as job losses mount. Calls intensify for Budget 3.0 reforms, a basic income grant, and policies that create real opportunities for struggling citizens. Image: Ron Lach/Pexels Political parties have stressed the need for urgent action, economic reform, and stronger leadership in response to South Africa's deepening jobs crisis. This comes after Statistics South Africa (StatsSA) on Tuesday reported that the official unemployment rate rose to 32.9% in the first quarter of 2025, up from 31.9% in Quarter 4 2024. The expanded unemployment rate, which includes discouraged work seekers, also increased significantly to 43.1%, the highest level in nearly three years. According to StatsSA, 8.23 million South Africans are now jobless, while millions more remain outside the labour market entirely. ActionSA Member of Parliament, Alan Beesley, criticised the Government of National Unity's (GNU) response, saying: 'South Africa's unemployment crisis is spiralling out of control, and the so-called Government of National Unity (GNU) remains missing in action. Behind every number is a young graduate sending out CVs with no response, a breadwinner sitting at home with no income, and families forced to choose between electricity and food.' Beesley said that just last week, Tourism Minister Patricia de Lille revealed that her department now receives up to 10,000 applications for job openings, forcing them to rely on artificial intelligence to shortlist candidates. ''This is a stark sign of the desperation gripping South African households and the overwhelming pressure on even the most basic job opportunities. 'This worsening crisis is being fuelled by the GNU's lack of urgency, policy indecision, and total absence of accountability. GDP growth remains stuck below 1%, interest payments now consume 22 cents of every Rand in tax revenue, and not a single GNU Minister has signed a performance agreement.' ActionSA has called for urgent reforms in Budget 3.0, warning that: 'Without bold action, this government will be remembered not for national unity, but for a national unemployment crisis.' Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ GOOD Party, secretary-general, Brett Herron, noted the seriousness of the crisis, saying: 'Unemployment is getting worse, not better. The official unemployment rate has climbed to a shocking 32.9%, nearly 25 million South Africans of working age have no income to support themselves or their families.' Youth remain hardest hit, with 46.1% of those aged 15–34 unemployed, and 45.1% not in employment, education, or training (NEET). South Africa's stagnant economic growth has fuelled almost two decades of rising unemployment, he said 'South Africa is not just facing an unemployment crisis, it's facing a crisis of dignity. Every lost job means another family pushed into poverty. Every discouraged worker is a symbol of a broken economic system.' He criticised the GNU's failure to act decisively, despite President Ramaphosa's commitment in the State of the Nation Address to build on the Social Relief of Distress grant as a foundation for 'a sustainable form of income support.' The ongoing budget impasse, he said, has stalled progress. Moreover, GOOD renewed its call for a basic income grant of R1,000 per month, saying: 'This isn't charity, it's economic justice and moral obligation. Supporting people means supporting recovery.' 'All ten parties in the GNU agreed to create a fairer, more just society. The time for action is now.' Democratic Alliance (DA) Employment and Labour spokesperson Michael Bagraim highlighted that approximately 300,000 jobs were shed in Quarter 1 2025. 'The DA's fight for growth and jobs within the GNU is exactly what needs to be accelerated in the current economic environment.' Calling for urgent reform, Bagraim stressed that: 'A job is more than income, it is hope for the future, security and dignity. ''Our country needs a growth agenda that unlocks barriers to investment, such as eliminating job quotas and economic and labour regulations that protect narrow interests and not all South Africans,'' he said. 'Time has long run out for discussion on jobs and growth. South Africa must now act, if we are to turn this around.' Get your news on the go, click here to join the IOL News WhatsApp channel. IOL Politics
IOL News
04-05-2025
- Business
- IOL News
ActionSA calls for Budget reform amid manufacturing sector crisis
ActionSA called on the coalition government to prioritise genuine economic reform when Finance Minister Enoch Godongwana tabled what the party described as 'Budget 3.0' on May 21. In a statement released on Sunday, ActionSA Member of Parliament Alan Beesley emphasised the critical state of South Africa's manufacturing sector and the urgent need for decisive action. 'After over a decade of [African National Congress] ANC-driven policy failure, South Africa's manufacturing industry is bleeding,' Beesley said. 'Unless bold steps are taken, the Minister might as well include an annexure to his Budget Speech listing the companies likely to follow ArcelorMittal in closing their operations and shedding thousands more jobs.' Godongwana is expected to re-table the 2025 Budget Review on 21 May, following the announcement by the National Treasury that it has withdrawn the proposed 0.5% Value-Added Tax (VAT) increase, which was scheduled to be implemented on May 1, 2025.
IOL News
01-05-2025
- Business
- IOL News
RAF Plundered: MPs demand accountability amid R50bn scandal
IN A scathing exposé of the Road Accident Fund's (RAF) deep-rooted issues, the Standing Committee on Public Accounts (Scopa) last week revealed a shocking level of corruption and mismanagement within this critical state entity. The revelations, presented by the Special Investigating Unit (SIU), painted a distressing picture of an organisation that has failed in its mandate to compensate victims of motor vehicle accidents while simultaneously serving as a cash cow for unscrupulous officials and service providers. Action SA's Alan Beesley minced no words when he declared: 'To me, that is absurd, and if that is the case, they should all be fired.' This was in response to the revelation that basic financial practices like periodic bank reconciliations — what he termed 'auditing 101' — were not being implemented despite the RAF's R50 billion annual turnover. The frustration among committee members was palpable, with the MK Party's David Skosana criticising the use of tentative language in the SIU report: 'The use of terms such as 'allegedly' when referring to malpractice by individuals in the SIU report could be likened to 'gossip'.' He emphasised the need for factual information at this level of investigation. Perhaps most concerning was the complete lack of vetting for RAF executives, as revealed by Scopa chairperson Songezo Zibi: 'Not a single executive at the RAF has been vetted yet. All of them are in process, from the chief executive on down.' This failure extended to the chief investment officer, who had previously faced multiple charges of malpractice at the City of Johannesburg, only for those charges to be abandoned upon his resignation. The financial irregularities uncovered were staggering. The SIU reported that R141 million appeared to be an irregular payment lacking board approval. Particularly troubling was the cancellation of the panel of attorneys without a backup plan, potentially opening another channel for financial losses. As the DA's Patrick Atkinson pointed out: 'The 'huge loss' suffered by the RAF due to not having a proper panel of attorneys in place was because of the actions of the Board.' The ANC's Helen Neale-May highlighted a pervasive culture of non-compliance, noting that contract management had been 'blatantly flouted'. This was evident in various contracts under investigation, including: Siyenza contract: R313 201 152.98 Office Building contract: R17 000 000 Fleet contract: R53 166 897 Cleaning contract: R12 117 260.80 SAP contract: R1 811 764 Office Furniture contract: R40 000 000 All these contracts showed signs of procurement irregularities and fruitless expenditure, with investigations complete and matters being finalised for referral to civil litigation. The investigation revealed a shocking level of complicity from legal professionals. Duplicate payments to attorneys and sheriffs emerged as a major concern. While some law firms cooperated with the SIU, others had not honoured their Acknowledgement of Debt agreements. As the MK Party's Thalente Kubheka cautioned: 'Once the media run with it, they would 'lap it up' but some of the individuals mentioned in the report had not been given an opportunity to have a right of reply yet.' The EFF's Chumani Matiwane added: 'It was 'quite concerning' to hear that bribes might have been paid in relation to work demonstrated in the allocation of work to a single law firm.' He also highlighted the manipulation of criteria to favour specific suppliers in the Siyenza Project. Despite 20 matters already referred to the National Prosecuting Authority (NPA) for prosecution consideration and 20 cases referred for disciplinary action, MPs expressed frustration at the slow pace of accountability. The DA's Farhat Essack captured the sentiment perfectly: 'There was 'absolutely' no accountability… The RAF was being 'plundered' and had become a cash cow for many individuals.' The chairperson announced plans to seek legal advice on handling sensitive information, acknowledging concerns about reputational damage before the right of reply. However, he maintained that Scopa needed to hold dear their responsibility to ensure 'people with valid claims were paid fairly and that this was done in a timely manner'. Adding to the list of concerns was the mention of ransomware attacks affecting the RAF's systems. While the SIU confirmed that no impact was detected in terms of the information needed for their investigation, Zibi emphasised the need for better cybersecurity measures: 'Ransomware should not be problematic, especially in institutions that process large sums of money like the RAF.' Zibi also announced plans to engage with other government departments, including the Minister of State Security and the Minister of Communication and Digital Technologies, to address systemic issues affecting the RAF's operations. He further emphasised the need for improved vetting processes and better support from state agencies. As the meeting adjourned, it was clear that the RAF faced a long road ahead in restoring public trust and implementing necessary reforms. The question remains whether these revelations will finally spur meaningful change or simply become another chapter in the fund's troubled history.
