Masilonyana municipality was previously shutdown by angry residents of Theunissen. Photo supplied
Workers at the cash-strapped Masilonyana municiaplity in the Free Sate remain in financial distress after the municipality failed to pay salaries.
Masilonyana workers are still waiting for their June salaries after the National Treasury withheld the Theunissen-based municipality’s equitable share allocation.
In a letter to employees, municipal manager Mojalefa Matlole acknowledged the delay and said the administration was trying to resolve the crisis. He told workers salaries would be paid by no later than Wednesday(15/7).
Where possible, the municipality may release payments earlier as revenue is collected.
National Treasury decided to withhold equitable share funding from 69 municipalities for failing to comply with key provisions of the Municipal Finance Management Act.
In the Free State, the 13 affected municipalities include Mangaung, Mohokare, Xhariep, Masilonyana, Matjhabeng, Dihlabeng and Ngwathe. In North West, Madibeng, Ditsobotla, City of Matlosana, Maquassi Hills and JB Marks are among more than a dozen affected, while in the Northern Cape the list includes Kamiesberg, Khâi-Ma, Renosterberg, Siyathemba, Kai !Garib and Magareng.
Treasury said the decision followed months of engagement. The municipalities received written notices about their financial management failures and were given a chance to explain why their allocations should not be withheld.
Masilonyana has battled repeated salary delays in recent years. In 2023, workers were paid late in September, October and November.
At one point, employees received R1,000 food vouchers at a local supermarket after the municipality could not pay salaries.
The municipality’s finances have come under pressure because it spends about R15m a month on salaries while collecting only between R1.8m and R2m in monthly revenue. Its collection rate is estimated at only 20% of rates and taxes.
Financial mismanagement has also affected payments to creditors, including Sars and employee pension funds. Parliament’s standing committee on public accounts (Scopa) previously heard Masilonyana allegedly owes about R75m to third parties, despite deductions having been made from workers’ salaries.
The municipality’s bank accounts have also been attached several times, disrupting cash flow and delaying salaries. Service delivery has also suffered, with some communities reportedly facing long water and electricity outages.
During Scopa proceedings, EFF MP Ntombovuyo Veronica Mente-Nkunaquestioned whether Masilonyana was still functioning as a municipality, saying its salary bill and available cash showed it could not operate properly.
Mayor Dimakatso Modise previously admitted the municipality had been using equitable share funding, meant mainly for basic services, to pay salaries. Matlole told Scopa the municipality decides how to split the equitable share between salaries, Sars, pension funds, Eskom and other creditors whenever the allocation is received.
Masilonyana’s annual salary bill is about R168m, higher than its annual equitable share allocation of R157m. Former CFO Amos Makoae also told Scopa officials had allegedly bypassed the municipality’s financial system for years by processing transactions manually.
Makoae was later removed after the Free State High Court found his appointment unlawful.
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The company has also started Section 189 retrenchment proceedings, placing over a thousand workers at risk of job losses.
NUM says the move is a severe blow to employees, families and surrounding communities and that the company should have consulted workers earlier.
NUM National Health and Safety Secretary and Diamonds Sector Chief Negotiator, Masibulele Naki says, “It was deliberate for Venetia management not to communicate with the National Union of Mineworkers- which is the only majority union organising in the Venetia mine. Because in the past, from our last wage negotiations- we were aware of the situation that is facing the diamond industry- even in all of Africa.”
“That’s why the workers compromised at that particular time, that instead of signing some of the offers, we signed less- it was negotiated in those basis. Then we agreed on continuous engagement, and evaluation of the situation, but they decided to pause,” explains Naki.
Below is the full interview with NUM’s Masibulele Naki:
Patient beds are covered with boxes and files. Image Credits : Ground Up
The Democratic Nursing Organisation of South Africa (DENOSA) says the Health Ombud’s report has put some of the concerns it raised on the working conditions for workers in the public hospitals to rest.
The report, which looked into the deaths of several health care-workers in KwaZulu-Natal, found no evidence linking their deaths to workplace bullying, among others.
It has, however, uncovered persistent staff shortages, deteriorating infrastructure and poor workplace support.
DENOSA’s chairperson in KwaZulu-Natal, Sibonelo Gumede, says, “We are pleased from the report of the ombudsman that dealt specifically with the case of Mazwi, the doctor who died in Prince Mshiyeni. And the reports now, it makes it clear. We’re still studying the report, but the report makes it clear that the rumors that went about that he, as an employee, was denied coming back has been ruled (on) and set aside.”
It’s hard to describe that sinking feeling when you encounter the flashing blue lights, yellow signs and orange bollards. Here’s what you can and cannot do at a police checkpoint.
We’ve all experienced that slight dip in the stomach when rounding a bend to see a sea of neon vests, traffic cones, and flashing blue lights. Roadblocks are an essential reality of driving on South African roads, designed to keep motorists safe, catch unroadworthy vehicles, and deter criminal activity. However, a combination of intimidating roadside tactics and general public confusion often leaves drivers unsure of where they stand.
With the nationwide administrative rollout of the AARTO (Administrative Adjudication of Road Traffic Offences) system, keeping tabs on your legal protections is more critical than ever. To help you navigate your next encounter calmly and safely, here is a definitive AutoTrader guide to what law enforcement can—and strictly cannot—do at a South African roadblock.
1. The Big Distinction: Roadblocks vs. Roadside Checks
Not every flashing blue light carries the same legal weight. South African law separates police operations into two distinct categories, and your privacy rights change depending on which one you encounter:
Authorised Roadblocks (Section 13(8) of the SAPS Act): These are large-scale, structured operations. They require written authorisation signed in advance by a National or Provincial Police Commissioner. At these checkpoints, the law authorises officers to search your person and vehicle without a warrant.
Informal Roadside Checks (Section 3I of the National Road Traffic Act): These are casual setup variations in which a couple of Metro Police or traffic officers pull vehicles over at random on an off-ramp or suburban street. Here, officers’ powers are much narrower.
2. What Law Enforcement is Strictly Allowed to Do
When you are signalled to stop by a uniformed officer, you are legally required to do so immediately. Fleeing or ignoring the signal is a serious criminal offence. Once stopped, officers are fully within their rights to execute the following procedures:
Demand Your Driver’s License and Identity
Under the National Road Traffic Act, you must carry your physical driver’s license (or an acceptable temporary layout) on your person or in the vehicle.You are obligated to present it upon request, alongside your vehicle’s license disc.You must also state your name and address if asked to confirm your identity.
Inspect Vehicle Fitness
An officer can inspect your tyres, lights, wipers, and license disc. If they have reasonable grounds to suspect your car is severely unroadworthy, they can issue a notice to discontinue its use or, in extreme cases, have it impounded.
Conduct Breathalyser Tests
You cannot legally refuse a breath alcohol screening. Under Section 65 of the National Road Traffic Act, refusing a breathalyser or a subsequent blood test is an arrestable offence.
Execute Active Warrants of Arrest
If a computer check at the roadside reveals that you have an active, court-issued Warrant of Arrest registered against your name (for instance, a contempt of court warrant for ignoring a previous traffic summons), officers have the legal authority to arrest you on the spot.
3. What Law Enforcement is Strictly Forbidden from Doing
While officers hold significant power, the Constitution and the Criminal Procedure Act draw a hard line against roadside bullying and unlawful coercion.
Demand Cash or On-the-Spot Fine Payments
This is perhaps the most common point of roadside friction. No traffic officer or SAPS member can force you to pay a traffic fine at the side of the road.
Even if the police have a mobile payment bus or a digital point-of-sale machine stationed at the roadblock, your participation is 100% voluntary. You always maintain the right to contest the infringement through regular administrative or legal channels.
Red Flag: If an officer demands cash, suggests driving to a nearby ATM, or hints at an informal “soft drink” payment to let you go, they are soliciting a bribe. Offering or paying for it makes you equally guilty of a criminal offence.
Unlawful Searches at “Roadside Checks”
As mentioned earlier, unless it is a formally approved Section 13(8) roadblock, officers cannot search your vehicle or your person without your explicit consent, unless they have clear, objective “reasonable grounds” or “probable cause” (such as smelling cannabis or seeing open alcohol containers on the seats). They also cannot search through your personal smartphone without a specific warrant.
Detain or Threaten You Over Unpaid Fines Alone
An outstanding traffic fine is an administrative notice—it is not a warrant of arrest.An officer cannot legally hold you, take your car keys, or block you from driving away simply because you have unpaid fines on the system. They may only detain you if they can physically produce a valid warrant issued by a magistrate.
Vital Protections
If you find yourself pulled over, the golden rule is to remain exceptionally calm, polite, and cooperative. Keep your hands visible on the steering wheel. However, protecting your peace doesn’t mean yielding your legal rights:
Ask for ID: You have the legal right to demand to see an officer’s Appointment Certificate (their official police ID card). If they refuse or cannot produce it, their subsequent actions may be deemed unlawful.At a formal roadblock, you can also politely ask to see the written authorisation for the command.
You Can Record the Encounter: It is entirely legal to take photos or record video/audio of your interaction with law enforcement, provided you do not physically obstruct them from doing their jobs.Officers are strictly forbidden from confiscating your phone, damaging your camera, or forcing you to delete footage.
Same-Sex Searches: If a physical body search is legally initiated, you have the right to demand that it be conducted by an officer of the same gender.
Should you feel that an official is overstepping the boundaries of the law, do not engage in a heated roadside argument. Keep your composure, write down the officer’s name, badge number, and the registration plate of their patrol vehicle, and report the misconduct later to the SAPS Anti-Corruption Hotline (082 820 6467) or the Independent Police Investigative Directorate (IPID).
Business leaders and labour unions have raised the alarm over the state of the Unemployment Insurance Fund’s (UIF’s) systems, which they say are collapsing.
Speaking to 702, the Congress of South African Trade Unions (COSATU) Parliamentary coordinator, Matthew Parks, cited IT problems, widespread fraud, and a lack of transparency as factors in its demise.
“The difficulty is that the fund is failing to fulfil its mandate to workers. It’s a systemic failure. When employees register a worker, they struggle with the IT systems,” Parks said.
“When workers try to apply, they also struggle. They go to labour centres across the country and find queues stretching into the hundreds of people.”
He added that some workers might have to wait three or four days to be assisted because the UIF’s IT systems frequently go offline, adding that they may wait months or even years to receive UIF benefits.
Parks added that inefficient systems and a lack of transparency enable corruption to thrive, alleging that criminals submit fraudulent claims as both workers and employers and take the money.
“The UIF also invests in labour activation programmes. Often those schemes themselves are riddled with tenderpreneurship with collusion with inside interests,” he said.
He added that many workers trying to register to claim benefits are frustrated by the UIF’s lack of transparency.
“They go and claim the benefits and find out that there’s no money there for them despite having contributed for years,” Parks said.
“So if the systems are efficient and transparent like a pension fund system, workers could go and check online and say: Yes, John has paid my monthly contribution this month. I’m safe.”
He explained that, as a result, many workers fall through the cracks and give up on claiming benefits because they can’t afford to sit in a queue for days in the hope of getting lucky.
uFiling goes offline for over a month in 2024
The Department of Labour’s uFiling platform went offline for more than a month in mid-2024, preventing users from accessing the system to declare and pay UIF contributions.
The fund acknowledged the issues in a statement, saying the platform was down due to a Pretoria High Court interim interdict that prevented a service provider from signing a new contract to support it.
“The court issued an interim interdict preventing, with immediate effect, the new service provider from rendering services for the UIF online portal,” Labour Minister Nomakhosazana Meth said.
“As a result, the UIF online platforms that are currently disrupted include uFiling, Unstructured Supplementary Service Data (USSD), Virtual Office, as well as the UIF Covid-19 TERS systems.”
UIF communications director Trevor Hattingh explained that the previous service provider was problematic. Its contract with the provider ended on 18 August 2024.
He said the UIF had sought the services of a new contractor rather than renewing its contract with the previous provider.
“The former service provider is alleging in their court papers, among other things, that without their services, we would not be able to pay South Africans,” Hattingh said.
By mid-September 2024, several sources told MyBroadband that the platform had been inaccessible since at least 23 August 2024, with a notice saying that it was offline for planned maintenance.
“uFiling has been down for months — quite bizarre — everything back to being manual, and payments have to also be manual,” one source said.
“Everything needs to be done by email — a monthly U19, and at the moment, they are auditing small businesses who don’t have the time to ‘go into the nearest labour office to access services.’”
They added that the notice indicating the site was offline for planned maintenance was loading some time after the platform went down.
“In my view, this is an inadequate explanation for a major disruption of a government online service that serves thousands of stakeholders, depending on UIF funding,” they said.
Another source said the outage affected all UIF services, noting that its servers could not be reached and that no explanation was provided.
On 17 October 2024, UIF announced that all its online services had been fully restored and were operational.
Finance Minister Enoch Godongwana announces corrective measures amid warnings from COSATU and legal experts of systemic theft and catastrophic breaches of trust affecting thousands of local government employees.
Gauteng news: Worker Retirement Funds at Risk: 69 Municipalities Face Treasury Freeze Over R1.7 Billion Pension Default. AI-generated image for illustrative and fair representation purposes only.
PRETORIA — Finance Minister Enoch Godongwana has revealed that 69 struggling municipalities have failed to remit roughly R1.7 billion in worker pension contributions, prompting National Treasury to temporarily freeze R13.5 billion in equitable share transfers. While financial regulators have condemned the widespread non-payment as systemic theft, some local governments have defended the withholdings as an emergency measure to keep basic services afloat.
The crisis has drawn sharp criticism from labor representatives and legal experts, who warn that the misappropriation of retirement funds is leaving municipal workers dangerously exposed as they approach retirement.
A Criminal Escalation of Worker Exploitation
Matthew Parks, parliamentary coordinator for COSATU, condemned the practice as an unjustifiable criminal offense. He emphasized that municipalities are in crisis due to corruption, mismanagement, and the deployment of incompetent leadership, not because of workers’ pension funds.
According to Parks, the issue has tripled over the past three years. Approximately three years ago, around 5,000 employees across the country—particularly in the municipal, security, and cleaning sectors—were affected by late or non-existent pension payments. This number rose to roughly 7,000 last year and has now nearly doubled again to over 15,000.
Parks warned that the failure to remit funds creates a compounding crisis. Because many of these schemes are not defined-contribution models like the Government Employees Pension Fund, the lack of accumulated interest leaves workers severely shortchanged. Furthermore, municipalities defaulting on pensions are frequently defaulting on medical aids, leaving workers unable to access hospital treatment, as well as owing taxes to the South African Revenue Service (SARS).
While Parks acknowledged National Treasury’s frustration and noted that 42 of the 69 targeted municipalities have reportedly instituted corrective actions, he stressed that withholding equitable shares must be paired with decisive consequence management. He cited extreme examples of systemic collapse, including a municipality in the Northern Cape that once went 12 months without paying its workers, and Amahlathi in the Eastern Cape, which reportedly paid employees with retail vouchers for six months.
Catastrophic Breach of Trust and Legal Frameworks
From a legal standpoint, labour and mediation lawyer Patrick Deale described the situation as a catastrophic failure of trust. Employers act as custodians of money deducted from employees’ paychecks, and failing to remit those funds breaches multiple legal frameworks, including the Pension Funds Act, the Financial Sector Conduct Authority (FSCA) regulations, and the Basic Conditions of Employment Act.
Deale noted that the issue extends beyond local government. Across both public and private sectors, more than R8.8 billion in total remains unremitted by delinquent employers who essentially use these funds to finance their own operations.
When addressing legal recourses for aggrieved employees, Deale outlined several avenues for accountability:
Information Disclosure: Employees or their unions can demand retirement fund statements. If an employer fails to provide them within 30 days, the matter can be referred to the Pensions Adjudicator.
Civil Proceedings: Workers can institute civil action to recover the money, securing warrants of execution to attach and sell company or municipal assets.
Criminal and Personal Liability: Accounting officers and delegated managers can be reported to the police for theft and prosecuted. Under corporate governance rules, directors can be declared delinquent, fined, or even face jail time.
Crucially, Deale highlighted that employers cannot escape the financial consequences of their delays. Unremitted funds accumulate compound interest at the legal interest rate (approximately 10.5%), plus an additional 2% penalty, compounding the ultimate debt owed to the pension funds.
Systemic Intervention and the Justice Bottleneck
Despite roughly 600 criminal cases having been launched by retirement funds with the South African Police Service (SAPS), and at least one referred to the National Prosecuting Authority (NPA), progress remains sluggish. Deale explained that the criminal justice system is heavily overloaded. Each case requires meticulous financial examination, document production, and employee list analysis, making rapid prosecution unrealistic without significant resource allocation.
To stop the rot preemptively, Deale suggested building proof-of-payment conditions directly into collective bargaining agreements, requiring employers to report monthly or quarterly to unions. Employees also hold the right to demand information disclosure under the Labour Relations Act, reducing blind faith in employer compliance.
Ultimately, both Parks and Deale agree that treating the symptom is not enough. Parks called for a holistic package of interventions, including the enlistment of the Auditor-General, the Special Investigating Unit (SIU), and the Hawks to tackle corruption. He also urged political parties to remove corrupt councillors and replace unqualified municipal managers, while questioning whether some municipalities are simply too small and lack the rates base to be sustainable, necessitating a national discussion on municipal integration and funding models.
Until consequence management becomes a reality—with arrests, asset attachments, and strict oversight—labor advocates warn that the looting of worker pensions will remain a ticking time bomb for South Africa’s local government sector.
