
Image: MICHAEL WALKER
The Amathole district municipality — which cannot pay salaries for four months, in part because of a previous hiring spree that almost doubled its staff complement — wants a bailout from the national government.
The administration has approached the co-operative governance and traditional affairs department and the Treasury for R180m to pay workers. This amount is in addition to a R150m request for mutual separation packages, which will see employees voluntarily ending their contracts.
Mayor Khanyile Maneli and municipal manager Thandekile Mnyimba addressed the non-payment of salaries and general instability at the municipality in a virtual press briefing on Wednesday.
This after the announcement earlier this week that the Eastern Cape municipality is unable to pay salaries to 1,670 councillors, traditional leaders and all staff for four months, beginning in February, due to strained financial resources. In November, it had to take a bank overdraft of R64m to pay salaries.
Maneli said the salary non-payment issue could be resolved, after a meeting with Cogta minister Nkosazana Dlamini-Zuma, Nqatha and Treasury MEC Mlungisi Mvoko yielded positive results.