Johannesburg – Financial woes for the African National Congress (ANC) continues for the ruling party, as retrenchment is now on the table.
Last week the National Executive Committee (NEC) asked the party’s Top Six including President Cyril Ramaphosa, his deputy David Mabuza, Paul Mashatile, Gwede Mantashe, Jessie Duarte, and Ace Magashule to address the issue of its finances.
“The NEC urged the officials to remain seized with the matter of placing the ANC finances on a sound footing. The NEC notes the work being done on a new organisational design for ANC offices that is appropriate to its mission and affordable,” said the party in a statement.
This follows the party’s critical financial situation and its struggle to pay its staff. The ANC’s dire financial situation has seen most of its staff going on an indefinite strike over non-payment for months.
The party employees were told that they would be paid what’s owed to them by 21 January. However, not all salaries were paid.
The party blamed the Political Party Funding Act for its poor finances, saying the funds dried up because some of their donors no longer wanted to fund them.
On Tuesday, ANC spokesperson Pule Mabe says the party may have to consider retrenchments.
He said cutting down on employees is part of the organisation’s redesign plan.
In the meantime, some ANC staff are on an indefinite stay away until their outstanding salaries are paid in full.
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