The South African Broadcasting Corporation is technically insolvent.<\/p>\n
This is according to the broadcaster’s CEO, Madoda Mxakwe, who was speaking at a media briefing on Wednesday (31 October), reports TimesLive<\/a><\/strong>.<\/p>\n “We are technically insolvent as the SABC. We are not able to fulfill our monthly obligations it’s important to understand as an organisation\u201a we are not able to fulfill our financial obligations.”<\/p>\n Mxakwe added that the SABC was currently in the process\u00a0of engaging with different stakeholders and trying to extend their borrowing limit.<\/p>\n “I do need to put it on record that the commercial insolvency is indeed increasing significantly\u201a” he said.<\/p>\n On Monday, the SABC \u00a0issued a notice to staff stating that it will retrench thousands of employees in an effort to save costs.<\/p>\n The state broadcaster\u00a0confirmed<\/a><\/strong>\u00a0it will proceed with Section 189 of the Labour Relations Act, retrenching up to 981 permanent employees and 1,200 of its 2,400 freelancers.<\/p>\n Around 3,400 permanent employees work at the SABC, meaning this restructuring will result in the broadcaster terminating almost a third of its workforce.<\/p>\n \u201cIt is envisaged that all employees and at all levels in the SABC will be affected by the restructuring,\u201d the SABC said in a statement.<\/p>\n \u201cThis would include Group Services, Provincial Operations, Commercial Enterprises, Media Technology and Infrastructure, News, Radio, Sport and Television.\u201d<\/p>\n \u201cIt is envisaged that 981 employees may possibly be retrenched as a result of the restructuring, across all the aforesaid business units and operations of the SABC,\u201d the broadcaster added.<\/p>\n The SABC plans to complete this process by the end of January 2019 in an effort to turn around its financial situation.<\/p>\n Read:\u00a0The SABC\u2019s latest tactic to get you to pay your TV <\/a>Licence<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":" The South African Broadcasting Corporation is technically insolvent.<\/p>\n","protected":false},"author":10,"featured_media":51209,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5554],"tags":[26],"class_list":["post-281079","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-media","tag-headline"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/281079","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=281079"}],"version-history":[{"count":5,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/281079\/revisions"}],"predecessor-version":[{"id":281089,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/281079\/revisions\/281089"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/51209"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=281079"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=281079"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=281079"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
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