Note to Editors: Please find attached English and Afrikaans soundbites by Cllr Marieta Visser and Sesotho soundbite by Cllr Ernest Putsoenyane.
The Democratic Alliance (DA) expresses grave concern over the deepening financial and governance crisis at Masilonyana Local Municipality, which has now left many municipal employees without full salaries for nearly three weeks, threatening both staff welfare and the continued delivery of basic services to residents.
It is understood that the South African Municipal Workers’ Union (SAMWU) attached the municipality’s bank account due to the municipality’s longstanding failure to remit pension fund contributions deducted from employees’ salaries. For months, workers have reportedly had pension contributions deducted from their monthly earnings, yet these funds were allegedly not paid to the relevant pension fund as required by law.
This constitutes a serious breach of trust and raises urgent concerns regarding financial mismanagement and accountability within the municipality.
While employees at salary levels 1 to 10 have reportedly received only partial payment, many others remain unpaid. This has caused severe financial hardship for workers and their families, lowered staff morale, and significantly disrupted municipal operations.
All reported attempts to secure relief funding to settle outstanding salaries have apparently failed, including the municipality’s efforts to seek intervention and financial assistance from the Department of Cooperative Governance and Traditional Affairs (COGTA).
In what appears to be a desperate response to this crisis, the municipality has now embarked on disconnecting electricity to consumers, particularly residents in town, in an effort to force immediate payment and collect revenue to pay salaries.
Residents should first have been given proper notice and afforded a reasonable opportunity to come forward, engage with the municipality, and make payment arrangements. Sudden disconnections without sufficient warning or fair administrative process are unjustifiable and place further strain on already struggling households.
This escalating crisis now threatens the municipality’s ability to deliver critical services, including water purification and treatment, refuse removal, fuel for municipal operations, and general maintenance and infrastructure support.
The risk of labour unrest, service delivery protests, and complete operational paralysis is now very real.
Further adding to the uncertainty are circulating reports suggesting that the Executive Mayor may have been instructed to vacate office, with claims that a resignation letter has been submitted to the Municipal Manager.
While the authenticity of these reports remains unverified, they emerge against the backdrop of earlier recommendations from the COGTA Portfolio Committee indicating that the entire municipal Troika should step aside.
The DA calls for:
- Immediate public clarification from the Municipal Manager and Executive Mayor regarding the salary crisis and pension fund attachment.
- Full transparency regarding the municipality’s financial position and steps being taken to restore stability.
- Fair and lawful treatment of residents before electricity disconnections are enforced.
- A forensic investigation into pension fund deductions and broader financial management failures.
- Accountability for all officials responsible for negligence or misconduct.
- Urgent intervention by COGTA and Provincial Government to stabilise governance and service delivery.
We will continue to demand accountability and decisive action to restore confidence in local government and protect the interests of our communities.