Maluti Bus Service transformation process which is an empowerment deal facilitated by the Department of Police, Roads & Transport is starting to bear positive results to beneficiaries of this broad based black empowerment deal. Maluti bus transport passengers within Qwaqwa and between Qwaqwa. Harrismith and Bethlehem and it is operated in terms of negotiated contract with Scopeful 21(PTY) LTD.
In September 2000, the Department of Public Works, Roads & Transport entered into an agreement with Scopeful 21(PTY)LTDto render public transportservices in the Qwaqwa, Bethlehem and Harrismith areas and in terms of this agreement a consortium comprising of 60% shareholding by Scopeful 21(PTY)LTD and 40% shareholding by Free state Development Corporation (FDC) was established. In terms of the rollout plan developed by the two parties, 40% of shares held by FDC were to be transferred to current employees of the bus operator and taxi operators in the area as 10% for employees and 30% for the taxi operators. The maximum period for transfer of these shares was specified as two years from commencement of the contract. This was however not achieved due to a number of reasons.
During the Tabling of his 2010/11 budget vote speech, the MEC responsible for Police, Roads and Transport in the Free State honorable Thabo Manyoni made a commitment to finalise transformation of Maluti bus service as a matter of urgency. The MEC established a task team consisting of officials from the department, members from affected taxi associations in the area, provincial taxi council and service providers. The task team has since been working around the clock to finalise the process. The intention of the task team is to make sure that everybody benefits from this empowerment deal. This includes former employees who were unfairly dismissed as a result of an industrial action in 1991.
The task team realised that former employees harboured some expectations that they will be integrated into the system, having consulted the then Executive Council in 2004 and the former MEC, in February, 2009. Their renewed hope saw them regrouping and repositioning themselves to play a meaningful role in the transformation of MBS. This expectation was brought to the attention of the Free State Provincial Executive Council.
The Free State Executive Council resolved that an ex-gratia payment to the amount of R11 million be paid to former employees or their dependants as a gesture of good faith by the provincial government as well as acknowledgement of the fact that those former employees had been treated unfairly.
To date about 148 former employees have received R40 000.00 each from the department and there is hope that payment to the remaining beneficiaries will be finalised by the end of March 2011. Mr Papa Mokgatla, the chairperson of former MBS employees committee said that they are very happy with what the present government has done for them. “We commend the department wholeheartedly on the work it has done in fast-tracking Maluti transformation” said Mokgatla. He further stated that ex gratia payment made to former employees show government commitment to address the injustices of the past.
The taxi industry through the shareholding in Maluti bus Service(MBS), currently have accumulated an amount of about R9 million which amount will be reinvested in the transformed MBS for purchasing of a new fleet of buses. For the first time taxi operators are to acquire a decisive and quantifiable benefit in this process and equally strike a balance in the viability of the business and the financing thereof.
Enquiries:
Mr Saki Mohono
Cell: 083 429 8269
