Unpaid tourism staff seek answers from Ugu
South Coast Tourism and Investment Enterprise's (SCTIE) acting CEO Deborah Ludick said while they have been allocated budgets for the 2023/2024 financial year from the family of municipalities within Ugu District, they have not received the full grant funding as was committed.
It is unclear which municipality failed to pay South Coast Tourism and Investment Enterprise (SCTIE) its full grant funding as committed from their annual budget allocations, resulting in the entity failing to pay 11 employees.
It has been three months, and SCTIE employees have not received their full salaries. They said it has been hard to get to work, pay bills and feed their families.
Disgruntled SCTIE employees marched to the Ugu District Municipality offices in Port Shepstone on Monday last week, hoping to speak to Mayor Sikhumbuzo Mqadi, with no luck.
According to SCTIE’s acting CEO, Deborah Ludick, while they have been allocated budgets for the 2023/2024 financial year from the family of municipalities within Ugu District, they have not received the full grant funding.
Ludick said some municipalities have yet to settle grants that were outstanding as of June 30, 2023.
When the Fever enquired with the five municipalities (Ugu, Ray Nkonyeni, Umuziwabantu, Umzumbe and Umdoni), Umuziwabantu Local Municipality’s spokesperson, Bruce Jalubane, confirmed that they honoured financial obligations for the 2023/2024 financial year by disbursing the full agreed-upon amount to SCTIE, with no outstanding balances.
“Furthermore, the municipality has made a budget allocation for the 2024/2025 financial year, and due process is underway for the disbursement of funds,” said Jalubane.
Umzumbe Local Municipality’s spokesperson, Sabelo Ncwane, said on checking that no outstanding payment was due to the entity, the municipality’s commitment to SCTIE for this fiscal year will be paid in full before the end of August.
Also, Umdoni Local Municipality’s spokesperson, Sphelele Cele, said after confirming with the CFO that it does not owe SCTIE, she will confirm when funds will be given to SCTIE for the 2024/25 financial year.
According to sources, Ray Nkonyeni Local Municipality (RNM) is struggling to pay SCTIE due to an agreement with Ugu.
However, RNM spokesperson Simon April said the municipality chose not to respond to questions by the Fever since the matter is now between two legal entities (Ugu and RNM).
When the Fever reached out to Ugu about whether the payment was settled for the 2023/2024 financial year, a response was not received.
Also, questions were not answered on grant funding allegedly deposited to Ugu for SCTIE from National Treasury.
Ugu spokesperson France Zama said it is a well-known fact that the district municipality has, in the past, been confronted by financial constraints.
“However, the municipality has been able to make available payments to the entity,” he said.
Meanwhile, the workers who downed tools on Monday said they will not return to work until they meet with the mayor or receive their full salaries.
HAVE YOUR SAY
Like the South Coast Fever’s Facebook page
