POLOKWANE – The Department of Health remains committed to delivering the R5b Limpopo Central Academic Hospital on schedule, while insisting that all contractors and subcontractors working on the flagship project comply with labour laws, following a major multi-agency inspection.

The response follows a high-impact compliance blitz by the Departments of Employment and Labour, Home Affairs and the police at the construction site in Flora Park on Friday, where authorities uncovered a range of alleged labour and immigration violations involving subcontractors.

The inspection formed part of ongoing oversight of the project, which is jointly funded by the national and provincial governments and is expected to transform tertiary healthcare in Limpopo while creating significant employment opportunities.

More than half of firms flagged

According to the Department of Employment and Labour, 24 of the 42 subcontractors operating on site are under investigation for alleged labour law violations, including employing undocumented foreign nationals, failing to provide adequate personal protective equipment (PPE), paying below the prescribed minimum wage, failing to issue employment contracts and payslips, and not complying with Unemployment Insurance Fund (UIF) requirements.

The operation saw 14 labour inspectors, led by principal occupational health and safety inspector Bumani Maswanganyi, joined by two Home Affairs officials and 32 police officers conducting unannounced inspections after labour officials detected inconsistencies relating to the employment of foreign nationals during previous visits.

Dozens arrested in single sweep

A total of 45 foreign nationals were taken in for verification. Of these, 24 were arrested for allegedly being in the country illegally, while 17 were arrested for allegedly possessing fraudulent identity or permit documents. Only three were found to be compliant.

Maswanganyi said labour inspectors were primarily targeting employer compliance rather than immigration offences.

“Labour is not exactly trying to deal with illegal foreign nationals, who happen to be a by-product in this instance, but the directors of subcontracting companies are often not on site, limiting authorities’ ability to act directly against those responsible,” he explained.

He added that inspectors found several alleged labour violations.

Directors nowhere to be found

“The issue is we could see from our records that some employees are not being paid the minimum wage. Others work without employment contracts, payslips, proof of competency for the work they perform or UIF deductions. PPE requirements are also not being complied with. In one instance, workers were using incorrect safety boots while mixing sand and cement,” Maswanganyi said.

The department also indicated that tracing the directors of subcontracting companies has proved difficult because some implementing agents further subcontract work, complicating efforts to determine ultimate accountability.

The construction project has previously faced controversy, including protests by some contractors seeking direct appointment by the main contractor, arguing that the development should maximise opportunities for local businesses and communities.

“Records already show who’s non-compliant”

Some subcontractors have questioned the effectiveness of government oversight.

One subcontractor, who requested anonymity, told Polokwane Observer that authorities should have little difficulty identifying the companies involved because contractor details are readily available through employment and labour records.

The subcontractor also argued that employee documentation submitted for monthly payment claims should enable authorities to identify non-compliant employers more easily.

Cash payments hide the numbers

Another subcontractor alleged that some employers may be circumventing controls by using compliant individuals’ identities for payroll purposes while paying undocumented workers in cash.

The allegations have exposed what officials described as a potentially complex network of suspected labour and immigration offences operating within parts of the construction project.

Maswanganyi emphasised, however, that the main contractor employs and contracts South African workers.

“Consequences” warning from health dept

Responding to the inspection, National Department of Health spokesperson Foster Mohale said all service providers and implementing agents working on government projects are expected to comply fully with South African laws.

“We call upon all service providers and implementing agents to comply with the laws of the country. Failure to do so will attract consequences in accordance with the rule of law,” Mohale said.

The Limpopo Central Academic Hospital remains one of the province’s largest infrastructure investments and is expected to significantly expand specialist healthcare services while creating thousands of employment opportunities during construction and once operational. Authorities have indicated that investigations into the subcontractors are continuing.