MPS TO FORMER SAPPI WORKERS: OUR HANDS ARE TIED

MBABANE – Where to from here? This will most likely be the question on the minds of the retrenched SAPPI employees after a select committee report has, in its findings, stated that Parliament’s hands were tied on the matter as the issue went as far as the Supreme Court.

The report was tabled on Monday by Motshane MP Robert Magongo, who was the chairperson of the five-member select committee tasked to enquire and report on the 2010 Sappi Retrenches Petition.

The findings of the committee in summary are that the workers retrenched in 2010 were given a raw deal.
About 491 employees were retrenched. 

In its executive summary, MP Magongo stated that as observed by the incumbent Minister of Labour and Social Security: ‘the decision of the High Court which set aside the decision of the Industrial Court was wrong, unjust and bad in law’.

The committee further observed that apart from being defrauded of their terminal benefits, they were also maliciously deprived of their four months pension contribution and outstanding housing loan balances despite that such loans had been insured for such eventuality.

“Motshane MP Robert Magongo’s hands are tied on the issue of terminal benefits as the matter went as far as the Supreme Court,” reads the report.
The committee further stated that it was unfortunate that however wrong a court decision could be, Parliament did not have the power or authority to rescind or review it.

The committee found that it was the office of the attorney general which may be of assistance on this aspect.
These are allegations contained in a report which is yet to be debated and adopted by the House of Assembly.

On the second part of the matter involving the four months’ pension contributions and the housing loan balances, it was recommended that this needed further investigation by the minister of Finance.

Recommended

The committee recommended that the Finance minister, through the Financial Services Regulatory Authority (FSRA) and/or Ombudsman or any other relevant and competent structure, further investigates the allegations against Alexander Forbes and Eswatini Building Society on the four months’ pension contribution and payment of loan balances respectively and table a report, in 60 days, with solid recommendations and/or corrective action to be implemented.
The report is yet to be debated and adopted by the House of Assembly.

The Committee was constituted pursuant to motion without notice No. 03 of 2019. The 2010 Sappi Retrenches had petitioned the House of Assembly to investigate a litany of allegations made against their employer, the government, Parliament and the Judiciary.

These allegations related to the gross unfair labour practices that they were subjected to on retrenchment.  The committee, according to the report, was able to conduct the investigations but even before this process began, there were serious bottlenecks.

“These bottlenecks were that there are court judgments on the issue (in part) and the unwillingness of Sappi Southern Africa to appear before the committee. In view of these limitations the committee could only do so much,” it was reported.
The former employees wanted a sit-down meeting with Sappi in calculating the terminal benefits, agree and sign off the deal of the terminal benefits as any social partners in any financial transaction.
The difference was about E350 million. 

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