The SABC says it is ready to implement Section 189 processes, following lengthy consultations stakeholders – with other cost-saving measures also in the pipeline.
The public broadcaster said that despite receiving several proposals, it has become clear that job cuts will be necessary. 400 jobs will be affected, down from 600 originally planned at the start of the process.
“The SABC is fully cognisant of the fact that this process will affect people’s livelihoods and, moreover, have a knock-on effect on their families and communities. However, having exhausted all other options, we are now faced with the difficult task of having to restructure the organisation to ensure its sustainability,” it said.
The broadcaster said that it conducted 16 consultative sessions over 4 months with multiple stakeholders, exceeding the statutory minimum requirement of four meetings over 2 months.
“The SABC has considered all options to minimise the total number of affected employees As such, we have been able to reduce the total number of impacted people to approximately 400, which is significantly less than the originally projected figure of 600.
“In addition, there are approximately 170 vacant positions that will be available for employees to apply for which provides the potential of further reducing the number of affected employees to 230.
“Furthermore, there are 97 positions which the organisation has identified to form part of a section 197 Business Processes Outsourcing (BPO) initiative. All affected employees will be offered a severance package of one week for each completed year of service,” it said.
On top of the job cuts, it said it will also implement and consider other cost cutting alternatives such as:
- Freezing salary increases for three years;
- Reducing employee leave days from 35 calendar days to 28 days;
- Discontinuing the encashment of leave days; and
- Reducing sick leave from 30 days annually to reflect the 36 days in a three-year cycle aligned to the Basic Conditions of Employment Act.
SABC Group CEO, Madoda Mxakwe, said that while the decision to cut jobs was not an easy one, it is necessary for the long-term sustainability of the SABC.
“An insolvent SABC serves no one, not our employees or our citizens who rely on the SABC for transparent, fair and ethical public broadcasting services. This retrenchment is understandably very challenging for all our stakeholders.
“However, it is one part of our approved turnaround plan that will help to reposition the SABC to achieve financial sustainability. Addressing the SABC’s huge cost base, together with recently announced new revenue deals, will ensure that the public broadcaster is able to properly execute its mandate to serve the people of South Africa for decades to come,” Mxakwe said.