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“We Will Not Be An Afterthought”: Denel Workers Told They Won’t Be Paid This Friday

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Source : {Gallo Images}

As the country digests news of approved salary increases for public office-bearers, workers at the state-owned arms manufacturer Denel have received a gut-wrenching update: they will not be paid their January salaries this Friday. The announcement has plunged employees into distress and ignited fierce condemnation from the National Union of Metalworkers of South Africa (Numsa).

According to Numsa, the general secretary of workers at Denel Dynamic was called to a meeting this week and informed that the company is financially struggling and unable to meet its payroll. “This announcement has left workers distressed, anxious and uncertain about how they will provide for their families,” said Numsa General Secretary Irvin Jim. “Once again, workers are being forced to carry the burden of Denel’s leadership failures.”

A Familiar Crisis, Ignored Solutions

The non-payment is a grim echo of past failures. Numsa, alongside other unions, has been part of a task team mandated to develop a turnaround strategy for the perennially troubled entity. Jim asserts that the union presented concrete proposals for recapitalisation, which were ignored by management. “This is why we reject any excuses from the management because they have solutions, but they are not implementing them,” he stated.

A Leadership Vacuum and Billions in Bailouts

Compounding the crisis is the continued absence of a permanent Denel board, which Numsa says has deepened governance instability. This leadership vacuum persists despite substantial state intervention. Jim noted that Denel has already received R1.8 billion in bailout funding from the National Treasurypart of a broader R3.4 billion allocationintended to restart production, pay salaries, and settle debts. Prior to this, the company received R992 million in working capital support.

“Denel requires adequate and timely funding, coupled with disciplined implementation of its turnaround strategy, if it is to operate efficiently,” Jim emphasised. The union is now demanding that the Denel board urgently engage the Treasury to secure the funding needed to pay workers “in full and on time.”

A Stark Contrast in Priorities

The timing of the salary suspension is particularly galling for workers, coming just days after President Cyril Ramaphosa approved salary increases of 4.1% and 3.8% for public office-bearers, including members of the executive and parliament, effective next year.

For Denel’s workforce, the message is painfully clear: while the political class prepares for raises, they are once again relegated to the status of collateral damage in a saga of mismanagement. As Jim put it, “Workers cannot and will not be treated as an afterthought while governance failures persist.” The empty bank accounts expected this Friday are not just a financial blow, but a stark symbol of a broken system.

{Source: Citizen}

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