Hollywood production company sued over SA jobs

A Hollywood motion picture production company that was launched in South Africa amid much-hyped publicity, promising to create jobs and promote local talents, is in fact allegedly doing the opposite – reducing jobs in South Africa.

MiclnGrace Studios, based in Bryanston, north of Johannesburg, has been accused by its employees of not only failing to pay taxes and UIF to the SA Revenue Service (Sars), but also not submitting the employees’ tax contributions to the receiver of revenue.

The irate employees, some of whom took court action, said when several of them went to Sars to enquire about their taxes, they were shocked to find company was not listed as a taxpayer.

“I went to Sars and gave them my tax and ID numbers and was told I haven’t been paying tax since my previous employment last October. But on my payslips there is a deduction for tax,” said one employee, who asked to remain anonymous.

The Citizen listened to a conversation between an employee and a Sars official confirming the company did not exist on the tax system. But Sars spokesperson Siphithi Sibeko declined to comment, saying Sars was prohibited by law from discussing confidential information of taxpayers.

The international company, with headquarters in Hollywood, is owned by South African-born couple Micl and Grace Norman. The employees accused the owners of unfair labour practices by dismissing or retrenching employees for flimsy reasons. They claimed the couple would hire employees but dismissed them before they finished their probation.

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One employee was allegedly fired for being pregnant and another for being HIV-positive. The staff also said the firm claimed money on their behalf from Covid-19 UIF and they confirm this with he UIF office, but MiclnGrace failed to pay it over to them.

“Some of us have taken them to court. We have had enough of this,” one staffer said. One worker, who also requested not to be named but agreed to be identified as a former personal assistant to Grace Norman, said he was dismissed after he complained about the late payment of his May salary and unpaid UIF.

“I told them I cannot live without my salary, especially this time of Covid-19 lockdown. Instead, I received a letter from HR and legal informing me that there was a cashflow problem; they could not afford to pay me. When I complained I was given a dismissal letter,” he said.

When sent a list of the allegations, MiclnGrace public relations manager Zenoyise John refused to comment.

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