Union wants answers from Gigaba on PIC board

In a move meant to bolster workers’ control over their pensions‚ the Public Service Association (PSA) is demanding information about Public Investment Corporation (PIC) board appointments.

Hot seat: Finance Minister Malusi Gigaba has been sent a letter of demand by the Public Service Association over concerns about the composition of the Public Investment Corporation board. Picture: REUTERS

The union has written to Finance Minister Malusi Gigaba demanding that he disclose why he was not considering section 6 (2) of the Public Investment Corporation Act when making board appointments. The section makes provision for the finance minister to consider nominations submitted by the PIC’s depositors‚ which include Government Employees Pension Fund members.

The letter includes an access to information request for consultations held between Gigaba or his predecessors and the Cabinet when determining who should sit on the PIC board.

Public sector unions including the PSA have been angered by the possibility of their investments being used to bail out state-owned companies. They have vowed to protect workers’ savings and have demanded an undertaking by the government that it will not dip into PIC funds to make up for its shortfall in the fiscus. In 2015‚ public servants resigned from their posts en masse as fears arose over proposed changes to pensions and provident funds contained in the then Taxation Laws Amendment Bill.

By: Theto Mahlakoana

Business Day https://www.businesslive.co.za/bd/national/2017-11-29-union-demands-gigaba-response-on-pic-board/

Source: TMG Digital.

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