Amathole municipality placed under administration due to financial crisis News24 Wire
Sars offices will be open on Saturdays throughout the month of October. The district municipality admitted it could not afford the monthly salary bill of R65 million per month.
The embattled Amathole District Municipality has been placed under administration.
The Eastern Cape government announced on Thursday morning that its executive council had taken a decision to invoke Section 139 (5) (a) of the Constitution of the Republic of South Africa into the affairs of the district authority.
The Constitution states that the provincial government may impose the Section 139 (5) (a) if a municipality, as a result of a crisis in its financial affairs, is in serious or persistent material breach of its obligations to provide basic ser
ADM pays suspended staff millions to sit at home PREMIUM By Soyiso Maliti - 17 January 2021
Amathole District Municipality (ADM) is paying six suspended senior managers millions while they sit at home doing no work.
The six, whose salaries range between R1m and R1.3m annually, have been on suspension since 2018. Collectively their salaries amount to R18m.
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Broke municipality wants R330m more to cover salary crisis and layoffs Soyiso Maliti and Daily Dispatch reporters > By Soyiso Maliti and Daily Dispatch reporters - 14 January 2021 - 12:28 Water tap in Igxarha, Morgan Bay. File image 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.