SABC Faces Possible Job Cuts As Missed Adverts Deepen Financial Woes

Insiders at the South African Broadcasting Corporation (SABC) have sounded the alarm over possible job cuts as the state broadcaster battles financial losses linked to missed advertising slots and poor TV licence collections.

Advert Slots Missed, Millions Refunded

According to sources quoted in City Press, more than 800 adverts went unplayed across 18 radio stations in August 2025. The missed adverts reportedly due to presenters failing to air scheduled commercials forced the SABC to refund millions of rands to its clients.

Internal reports show that Metro FM, Ukhozi FM, Umhlobo Wenene FM, and Radio 2000 were among the worst offenders. Presenters, who are responsible for running adverts on their own desks, have come under scrutiny as investigations continue.

“The missed adverts represent not just lost income, but a serious reputational risk,” an insider said. “When clients pay for airtime and their adverts don’t play, that damages trust and the refunds hit our finances hard.”

A Problem That’s Been Building

This isn’t the first time the SABC has faced this issue. Internal data shows that 525 adverts were skipped in July and 561 in August 2024 meaning the problem has been growing for more than a year.

With the broadcaster relying heavily on advertising for revenue, such losses could not come at a worse time. The SABC also depends on government funding and TV licence fees, both of which have become unreliable sources of income.

South Africans Turning Away From TV Licences

The SABC’s 2024/25 annual report paints a bleak picture. Although there was a slight improvement in licence fee collections, the majority of South Africans continue to avoid paying.

Out of R4.936 billion billed, only R758 million was collected just 15%. While this marks a marginal rise from 2024’s 14%, the broadcaster still lost out on around R4.2 billion in potential revenue.

To put this in perspective, TV licence avoidance has worsened dramatically in recent years, jumping from 69% in 2019 to 85% in 2025.

Mounting Losses And A Search For Solutions

The SABC reported a net operating loss of R253.3 million in 2025 a decline from R197.8 million the previous year. Its modest 1.3% revenue growth was outpaced by a 3% rise in expenses, resulting in a 4.9% drop in net margin.

In addition, the broadcaster said its unfunded public interest mandate costs around R2.1 billion each year money it does not currently have.

To address its ongoing funding challenges, the SABC has appointed BMI TechKnowledge to help develop a new, sustainable revenue model, likely replacing the much-criticised TV licence system.

A Glimmer Of Good News

Despite its financial turmoil, the SABC did receive its second consecutive unqualified audit opinion from the Auditor-General a rare bright spot suggesting improvements in governance and accountability.

Still, with ad revenue slipping, TV licence payments in freefall, and public trust wearing thin, the road ahead looks challenging. Unless a viable funding model is found soon, the SABC’s next big broadcast might not be about breaking news but breaking point.

{Source My Broadband}

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