Untu warns Prasa retrenchments could trigger ‘jobs bloodbath’

Labour unions have warned Prasa against retrenchments

Labour unions have warned Prasa against retrenchments. Picture: (Freddy Mavunda)

Labour raises possible ‘jobs bloodbath’ across the rail operator’s operations

The United National Transport Union (Untu), the majority union at the Passenger Rail Agency of South Africa (Prasa), has criticised the rail operator for allegedly steaming ahead with plans to retrench 603 employees without consulting labour.

“We reject this move by Prasa, therefore, we appeal to all our members not to sign any acknowledgement letter or correspondence issued in relation to this retrenchment process. The manner and behaviour of Prasa undermines the legal objective of a joint consensus-seeking consultation process,” said Untu spokesperson Atenkosi Plaatjie.

A facilitation process by the commission for conciliation, mediation and arbitration (CCMA) was flawed, she said, as Prasa management “consistently refused to provide labour with critical information requested in an effort to avert this jobs bloodbath”.

“This information would make way for a people optimisation process within the rail business where there are currently open vacancies. Such organograms should have formed the basis of the consultation process, as they would have assisted in preventing this bloodbath.

“Labour repeatedly requested these structures, but they were never provided. This failure has significantly contributed to the process being fundamentally flawed,” she said.

The parastatal incurred irregular expenditure of R3.8bn in 2022/23, earning a qualified audit opinion from the auditor-general for the period. From 2018/19 to 2021/22, the auditor-general issued a disclaimer on its financial statements, which signifies that the accounts cannot be relied on and often suggests the company is in a parlous financial state.

Prasa received government subsidies amounting to R7.2bn for operations and R12.3bn for capital expenditure in 2022/23. The entity generated revenue of R119m from fares, operating lease rental income of R620m, other income of R181m and interest received of R1.7bn.

Prasa and organised labour represented by Untu and the rival SA Transport Workers Union (Satawu) signed a one-year deal for a 5.5% wage increase in 2025.

Prasa, which has a network of more than 2,000km of track, has historically been plagued by ageing infrastructure, vandalism, lack of reliability and effectiveness, fraud, corruption and safety concerns.

The entity launched its general overhaul programme in 2022 at a cost of R7.5bn (of which R3.48bn had been spent by the end of March 2025).

The overhaul was established to refurbish and extend the service life of Prasa’s legacy rolling stock fleet — the older Metrorail coaches and mainline passenger services locomotives that serve millions of commuters in South Africa’s metropolitan regions.

Prasa said it has grown its ridership from 39.4-million in the 2023/24 financial year to 77-million by last year.

Plaatjie said Untu noted with concern that despite shortages of security personnel, “Prasa has now included protection services employees in its retrenchment plans”.

“This decision is both shocking and contradictory, particularly as Prasa’s own corporate plan identifies the ongoing need for additional protection services officers to safeguard passengers, rail infrastructure, and operations against vandalism and cable theft,” she said.

“It makes absolutely no sense to retrench protection services employees unless Prasa wishes to repeat the catastrophic mistakes made during the Covid-19 period, when security contracts were cancelled, leading to widespread vandalism, rampant cable theft, and the destruction of critical rail infrastructure and trains.”

Plaatjie said Untu’s legal department is exploring the next course of legal action in the section 189 process. Organised labour has called for a meeting with Prasa group CEO Hishaam Emeran on May 22 to “discuss this disgraceful retrenchment process by the entity. This approach by Prasa has caused immense anxiety and uncertainty among affected employees and their families, and it must be condemned.”

Satawu spokesperson Amanda Tshemese said the Cosatu affiliate would comment in due course. Prasa spokesperson Andiswa Makanda has been approached for comment, which will be added once received.


Source: https://www.businessday.co.za/news/2026-05-12-untu-warns-prasa-on-retrenchments/

COSATU demands urgent and decisive action to tackle the unemployment crisis

COSATU Mpumalanga expresses deep concern over rising unemployment and retrenchments

The Congress of South African Trade Unions (COSATU) demands urgent and decisive action to tackle the unemployment crisis.  The latest jobs report released by Statistics South Africa for the 1st Quarter of 2026, is beyond depressing.  Whilst there is usually a slight downward trend after the festive season peak in the last quarter of the year, the job losses for the first three months of 2026 are extremely worrying.

The expanded definition of unemployment has risen by 1.6% to 43.7% with the total number of unemployed persons rising by 301 000.  The construction as well as community and social services sectors have been particularly hard hit, notwithstanding some positive jobs increases in manufacturing, mining and agriculture.  Whilst the overall increase in unemployment was largely driven by school leavers and matriculants entering the labour market after the end of the school year, we must all be deeply concerned by the state of the economy and its inability to absorb the youth.

The outlook for the 2nd Quarter is likely to be similarly bleak due to the unprovoked war in the Middle East and the massive impact it has had on international oil and fuel prices, essentially doubling over the last two months.  This has already seen economic growth projections for South Africa for 2026 slashed from an already meagre 1.4% to 1%.  Inflation for transport has already jumped with food and other essential goods likely to soon follow suit.  This may see the Reserve Bank hike the repo rate, inflicting even further pain upon highly indebted workers and an embattled economy.

We cannot continue to normalise 1% economic growth and dangerously high levels of unemployment, poverty and inequality.  The extent of this crisis requires a bold and aggressive stimulus package to kickstart the economy, rebuild public and municipal services, make capital affordable and accessible for SMMEs and industrial sectors, and extend relief for the unemployed by expanding public employment programmes.

Similarly, efforts to reduce the price of electricity, restore rail and ports to full capacity, and invest in economic infrastructure and tackle crime and corruption must be accelerated.

COSATU will be tabling formal proposals on a stimulus package mobilising every possible public and private financial resource to Nedlac and Parliament.  Unemployment is the single greatest threat to the nation.  It requires the same decisive and progressive response as was mobilised and led by President Cyril Ramaphosa during COVID-19.  This is a ticking time bomb we dare not ignore.

Issued by COSATU

Matthew Parks (COSATU Parliamentary Coordinator)

Mobile: 082 785 0687

Email: matthew@cosatu.org.za


Source: https://mediadon.co.za/cosatu-demands-urgent-and-decisive-action-to-tackle-the-unemployment-crisis/

COSATU Warns South Africa’s Unemployment Crisis Is Becoming a ‘Ticking Time Bomb’

South Africa’s worsening unemployment crisis has triggered renewed concern from COSATU, with the federation demanding “urgent and decisive action” after the latest labour figures showed hundreds of thousands more people without work.

In a statement issued on Tuesday, COSATU said the country’s expanded unemployment rate climbed to 43.7% in the first quarter of 2026, while the number of unemployed people increased by 301,000.

The federation described the latest employment data from Statistics South Africa as “beyond depressing”, warning that the economy is failing to absorb young people entering the labour market after the school year ended.

COSATU said the construction sector and community and social services were among the hardest hit during the first three months of the year, despite some reported gains in manufacturing, mining and agriculture.

The federation also cautioned that conditions could deteriorate further in the coming months due to rising global oil and fuel prices linked to the ongoing conflict in the Middle East. According to COSATU, economic growth forecasts for South Africa have already been cut from 1.4% to 1% for 2026.

COSATU said rising transport costs could soon push up food prices and other essential goods, placing additional pressure on already struggling households. The federation further warned that the South African Reserve Bank could respond with another repo rate increase, worsening financial pressure on indebted consumers.

The federation is now calling for what it described as a “bold and aggressive stimulus package” aimed at rebuilding public services, supporting small businesses, expanding public employment programmes and lowering the cost of doing business.

COSATU said it plans to table formal proposals at Nedlac and Parliament in an effort to push for faster economic intervention.

The organisation warned that unemployment remains “the single greatest threat to the nation” and compared the scale of the crisis to the economic emergency experienced during the COVID-19 pandemic.

No response from government or the Presidency had been included in the statement at the time of publication. Pondoland Times had not independently verified all claims made in the federation’s statement.

The latest figures are expected to deepen concern in provinces such as the Eastern Cape, where youth unemployment, poverty and limited economic activity continue to place pressure on households and job seekers.


Source: https://pondolandtimes.co.za/jobs-opportunities/article/cosatu-warns-south-africas-unemployment-crisis-is-becoming-a-ticking-time-bomb/

COSATU urges immediate intervention in Compensation Fund collapse

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The Congress of South African Trade Unions (COSATU) has called on Employment and Labour Minister Nomakhosazana Meth to intervene in the deepening crisis at the Compensation Fund, warning that workers are suffering because of ongoing failures within the institution.

The federation said the Compensation Fund, which is responsible for compensating workers injured, sickened or killed on duty, was struggling with governance failures, corruption allegations, staffing shortages and administrative inefficiencies.

COSATU spokesperson Zanele Sabela said recent findings by the Supreme Court confirmed long-standing concerns raised by workers, unions and employers about the poor state of the Fund.

“The court’s findings confirm what workers, unions, employers and the public have long experienced, the Compensation Fund is in deep distress and failing in its mandate,” said Sabela.

The federation pointed to the Auditor-General’s findings that the Compensation Fund received disclaimer audit opinions for 12 consecutive years due to missing records, poor data management and weak financial controls.

COSATU said the institution had also failed to deal decisively with allegations of fraud and corruption, despite reports suggesting that some employees may be implicated in wrongdoing.

Sabela warned that ongoing vacancies in critical management and technical positions were further weakening the Fund’s ability to operate effectively, resulting in severe delays in processing workers’ claims.

COSATU has now urged Meth to stabilise the institution, implement the recommendations made by the courts and the Auditor-General, and ensure accountability within the Compensation Fund.

“Workers deserve a Compensation Fund that is efficient and capable of compensating workers and their families timeously when they are injured, fall ill or die at work,” added Sabela.


Source: https://www.jacarandafm.com/news/news/cosatu-urges-immediate-intervention/

NEHAWU STATEMENT ON INTERNATIONAL NURSES DAY

COSATU Mpumalanga expresses deep concern over rising unemployment and retrenchments

The National Education, Health and Allied Workers’ Union [NEHAWU] conveys its militant salute to millions of nurses across the world celebrating International Nurses Day which is celebrated annually on the 12th May.

We recognise and appreciate the critical role of nurses as the backbone of our healthcare system and the sterling role they play in promoting health and wellbeing of our people. We take this moment to pay tribute to the gallant nurses across the country, we salute their relentless, combative and brave contribution to the noble cause of saving and preserving the health and lives of our people.

As we observe this day, it is important to highlight the plight of nurses particularly under capitalism and imperialism, and to honour the generations, who have fought against oppression and exploitation. As we celebrate this day, we must acknowledge and recommit ourselves to continue with the struggle of nurses and fight all forms of oppression and the social systems that breeds oppression.

Indeed, nurses are part of a broader movement against capitalism, which sustains itself through the exploitation of the working class. They form a critical component in the struggle against greed and human exploitation. Hence, nurses and the working class as a whole, must unite to fight for its rights, and advance the struggle for a free egalitarian society.

We are observing this year’s International Nurses Day under worsening socio-economic conditions of high unemployment, poverty and inequality confronting our nation. This is as a result of the government implementing neoliberal macroeconomic policies which have destroyed the capacity of the state to deliver social services such as Health.

The health system generally is confronted by a myriad of challenges across, ranging from the poor management of hospitals and clinics, emergency services, forensic pathology, capacity of districts in driving primary health care delivery, inability to account for finances by state-aided hospitals, failure to deploy resources for the speedily implementation of the National Health Insurance (NHI) to guarantee universal access to health for all citizens of this country.

Despite the enormous challenges facing the public health system in South Africa, nurses continue to keep our hospitals and clinics functional. Every day they carry the health system on their shoulders, often working under difficult conditions and facing the frustration of communities who are suffering because of poor service delivery. Nurses are the backbone of healthcare. They ensure that patients receive treatment, even when there is a shortage of staff, medicines, equipment and other essential resources. They go beyond the call of duty to deliver babies safely, care for the sick, comfort families and save lives. From the moment a child is born until the final moments of life, nurses are there providing compassionate and professional care.

South Africa faces a serious shortage of nurses. The World Health Organization recommends a minimum threshold of about 44.5 doctors, nurses and midwives per 10,000 people to achieve universal health coverage. South Africa remains below what is required in many provinces and facilities, especially in rural and underserved areas. In some public hospitals and clinics, one professional nurse may be forced to care for 30 to 40 patients during a shift, far above safe staffing norms. One of the biggest obstacles facing nurses is government austerity and budget cuts, which have led to frozen posts and worsening staff shortages.

For this reason, the union has adopted the theme for International Nurses Day 2026: “Stop Budget Cuts, Fill Vacancies: Empower Nurses for a Functional NHI”. If we are serious about building a strong and functional National Health Insurance system, we must invest in nurses, fill all vacant posts and provide the resources they need to care for our people.

The World Health Organization advocates that nurses and midwives are key to the achievement of its goal of Universal Health Coverage because they play a critical role in health promotion, disease prevention and the delivery of care in all settings. Furthermore, the WHO advocates for greater investment in the education, employment, service delivery and leadership of nurses which will stimulate economic growth by creating decent jobs for nurses and greater economic participation, and such advancements can accelerate progress towards health equity, gender equality and UHC through a primary healthcare approach and move towards achieving the broader Sustainable Development Agenda.

We reiterate our long-held position as the union that it is imperative for government to invest in the nursing fraternity to address major challenges encountering our healthcare system. This investment would contribute in improving and strengthening the healthcare system ensuring that it provides access to quality health services for all in line with the principles of universal health coverage.

The government must invest in the nursing fraternity through the employment of more nurses in order to have an effective and functional health system that provides qualitative health outcomes for the population as per the vision of HRH Strategy. Equally, in order to achieve a well-developed and sustainable healthcare system it’s crucial to have nurses that are skilled, knowledgeable and have expertise to provide healthcare services. The government must invest on nurses for the realisation of providing quality healthcare services for our people.

Lastly, the union will continue advocating for investment in the nursing fraternity to be at the centre in the reengineering of our primary healthcare system to ensure all citizens have access to proper and quality healthcare.

END

Issued by NEHAWU Secretariat.

Zola Saphetha (General Secretary) at 082 558 5968; December Mavuso (Deputy General Secretary) at 082 558 5969; Lwazi Nkolonzi (NEHAWU National Spokesperson) at 081 558 2335 or email: lwazin@nehawu.org.za


Source: https://mediadon.co.za/nehawu-statement-on-international-nurses-day-3/

SACCAWU blasts Pick n Pay restructuring plans

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SACCAWU has condemned Pick n Pay’s restructuring plans, warning that proposed pay cuts, reduced benefits and possible retrenchments threaten the livelihoods and working conditions of about 22,000 employees across South Africa.

The South African Commercial Catering and Allied Workers Union (SACCAWU) has strongly condemned what it has described as a threat to job security and negotiated working conditions affecting approximately 22,000 Pick n Pay workers.

In a media briefing on Monday, the union said the company’s restructuring process presents employees with what it called two undesirable choices, stating that workers are being forced to either accept retrenchments or agree to the downward variation of their employment conditions.

The union also criticised the retail giant’s decision to refer the dispute directly to the Commission for Conciliation, Mediation and Arbitration (CCMA) before presenting proposals through established internal negotiation structures.

“(Pick n Pay CEO) Sean Summers’ decision to refer a dispute to the CCMA, before their proposals were tabled to SACCAWU, is indicative of the bad faith with which they are embarking on this process.”

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SACCAWU said the proposals included reducing monthly working hours from 196 to 176, which could result in about a R2,000 pay cut per worker, removing transport for late and night shifts, scrapping the 13th cheque for non-management staff, ending Sunday pay premiums, withdrawing benefits for part-time employees, and eliminating existing flexibility and multi-skilling agreements.

The union accused the company of protecting top management salaries while placing the burden of restructuring on lower-level employees.

In its statement, SACCAWU claimed management was sacrificing workers’ livelihoods.

“Pick n Pay management is hellbent on ringfencing their own high salaries and benefits, while deepening the levels of poverty, unemployment, inequality, and economic hardship.”

The union also raised concerns about the effectiveness of CCMA-facilitated processes, arguing that Section 189 and 189A procedures may reduce meaningful negotiation.

SACCAWU warned that it was prepared to escalate the matter if necessary, stating that it was ready to mobilise members and communities in defence of jobs and collective agreements, including the possibility of industrial action.

Pick n Pay has described the move as the next step in a multi-year financial turnaround that has already seen the closure of many loss-making stores, the repayment of debt, and the freezing of salaries.


Source: https://www.ecr.co.za/news/news/saccawu-blasts-pick-n-pay-restructuring-plans/