April appointment of ex-Unisa Enterprise CEO sparks questions at Human Settlements

Lesetsa Matshekga, the former chief executive of Unisa Enterprise (UE), was appointed on 1 April as a special advisor to Human Settlements Minister Thembisile Simelane, a move that has drawn scrutiny because of problems at UE during his leadership.

Appointment and role

The department said Matshekga will advise the minister on policy and strategic matters related to the department’s mandate. The department’s spokesperson, Tsekiso Machike, told reporters the appointment complied with the Public Service Act and the department of public service and administration guidelines governing special advisors. The spokesperson said preliminary security vetting uncovered no negative findings against Matshekga and that the minister was unaware of any adverse findings by Unisa or previous employers that would render him unsuitable for the post.

Controversy from UE tenure

Matshekga’s time at Unisa Enterprise has been described in reports as rocky, with the entity facing allegations of financial mismanagement, retrenchments, labour disputes and unpaid salaries. Responding through his attorneys, Dumakude & Co Inc, Matshekga disputed suggestions that he should be held personally responsible for difficulties at UE. The firm’s director, Sicelo Dumakude, confirmed Matshekga vacated the UE CEO position in March and was assisting UE in a consultancy capacity until the end of that month.

“There has currently been no adverse finding and/or declaration that he was personally responsible for such challenges,”

The Citizen has revealed that Unisa has apparently resolved to cut its losses and shut the entity after an internal risk report pointed to a deepening financial crisis. According to The Citizen, employees and interns at UE went for months without receiving salaries and disputes involving former employees were referred to the Commission for Conciliation, Mediation and Arbitration.

Experience and credentials

The department highlighted Matshekga’s professional background, saying he brings more than 20 years of experience, including senior management roles. His listed experience includes nearly eight years at the Gauteng Partnership Fund as treasury manager and four years at the Development Bank of Southern Africa, with expertise in infrastructure financing and housing-related sectors. The department also cited governance roles, including positions on audit and risk committees at the Social Housing Regulatory Authority, the Council for Medical Schemes and the Johannesburg Social Housing Company.

Matshekga’s academic qualifications noted by the department include an MBA from the Gordon Institute of Business Science, a BCom honours in financial analysis and portfolio management from the University of Cape Town, and BCom and BCom honours degrees in economics from the University of Limpopo.

Context on special advisors

The post of special advisor is among the highest-paid political appointments in government, with annual earnings ranging between R1.3 million and R2.7 million. Special advisors serve at the pleasure of the minister and are appointed on policy grounds rather than through the ordinary public service recruitment process.

What happens next

The department said Matshekga’s appointment followed the required vetting and compliance checks. Questions raised about UE’s past operations and the entity’s reported decision to shut down remain part of the public record, as reported by The Citizen, while the new advisory role has already begun.