ANC cash crisis mounts ahead of NGC

Johannesburg – The ANC’s cash woes are mounting ahead of the local government elections and the much-anticipated national general council (NGC) – two events that will cost millions of rands.

The governing party moved quickly to save itself from yet embarrassment related to its failure to pay salaries when it only managed to pay workers their February salaries only this week after they threatened to down tools or take the party to the Commission for Conciliation, Mediation and Arbitration (CCMA) if their salaries were not paid.

The salaries, which were supposed to have been paid by February 25, were only paid between March 8 and 11 after some of the affected employees contacted Sunday World to complain about the crisis.

An employee who did not want to be named confirmed that they had not been paid their last month’s salaries on time because the cash-strapped governing party did not have the money.

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“I think the situation is like this because business is no longer donating funds to the party. Business is now listening and donating funds to individual leaders of the organisation rather than to the organisation itself. Even when money is donated to the organisation, it does not reach the organisation, but goes into the pockets of individual leaders,” said the staffer.

The staffer also attributed the party’s financial crisis to fat salaries the party paid to former cabinet ministers who work at its head office.

“Remember when they come here, they come with all their protectors and personal assistants or secretaries who are paid by the organisation because they do organisational work. That has ballooned our salary bill exponentially.”

He said funds donated by party benefactors and “levies” paid by party deployees in government were no longer sufficient to pay salaries.

“The risk is that the NGC might not happen, and if it happens, it would be funded by individual leaders who will then dictate to branches what to do.”


The employee added that she and her colleagues were contemplating taking the governing party to the CCMA if they were not paid soon.

“This culture must stop. I am a single mother. My life and my children depend on this salary for survival,” she said.

The ANC is not the only party facing the cash crunch.

The Sunday Times reported last month that the DA is considering selling its headquarters in Bruma, Johannesburg, as the party faces serious cash problems.

DA CEO Simon Dickinson confirmed that the party is contemplating putting Nkululeko House, which was unveiled to much-fanfare three years ago, on the market.

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A well-known ANC benefactor, who did not want to be named for fear of victimisation, said he donated close to R100-million to the organisation since he ventured into business but he was no longer willing to do so because he might be targeted.

“Our bank statements are now shared with the media and law-enforcement agencies and, as a result, we become the targets of these people who accuse us of corruption,” said the businessman, who scored government tenders.

ANC spokesperson Pule Mabe confirmed that employees were not paid on time due to a variety of reasons. “The ANC is donor-funded organisation, so because of the current economic climate, companies are struggling.

“This also affects the organisation,” said Mabe. “But what is important is that the organisation has paid the salaries.”

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