- The South African Broadcasting Corporation (SABC) will not be raising its employees' salaries for at least three years
- They have lost money due to corruption and need to find a way to cut costs to achieve their turnaround goals
- South Africans are dismayed at the decision and took to social media to call for SABC leadership to take salary cuts so that low-level employees do not lose out
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Mojaki Mosia, the head of Human Resources for the SABC, says that employees of the broadcaster will not receive salary increases and that this situation could last a minimum of three years due to money lost from corruption.
According to Mosia, the stagnant salaries have been included in the SABC budget for the year, as the company needs to break even before it can afford to give employees raises.
“There will be no salary increase for this financial cycle. I can confirm it has been implemented so that in the summary that the CFO has made it will save us almost R100 million in this financial year," Mosia said.
How the SABC plans to break even
Mosia explained that keeping salaries stagnant for three years will save the SABC over R300 million. He added that if the corporation breaks even before the end of the three years, they will increase their employees' salaries, SABC News reports.
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While the SABC has achieved 97% of its goal, it needs to generate more revenue to ensure financial sustainability and stability.
SABC's bailout was not a hand-out but rather came with certain conditions, one of which was to safeguard the company from achieving bankruptcy. Mosia said that serious month-to-month improvements need to be seen for this goal to be achieved.
Reactions to salary decision
"Must be nice saying that while earning millions. With petrol, medical aid, food, etc increasing, how will lower grade employees survive? Those responsible for bringing SABC to this level must be dealt with. I knew something was up when they celebrated one month profit."
"Another successful SOE, well done ANC."
"In the mean time, they must paying for these petrol hikes, electricity hikes, and that extra R230 on their groceries that's caused by the rising prices on those two fundamentals..."
"Re lla le Lena. Let's hope the execs will take salary cuts to make sure the ship does not sink and affect poor employees."
Outa wants SABC TV licences treated as 'tax'
Previously, Briefly News reported that Outa, a civil society organisation, is advocating for a revamp of the SABC's TV licence system. They believe that their proposal will alleviate the national broadcaster's budget problems.
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Outa has submitted a proposal to the Department of Communications and Digital Technologies that emphasises the fact that the TV licence is essentially a tax and should be recognised as such.
Outa recommends that the TV licence should be incorporated as a tax via a money bill. The incorporation of the TV licence tax will mean that the fee associated with the TV licence will rather be set by the Finance Minister and no longer by the Minister of Communications.
Source: Briefly News