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SABC may reach 'day zero' amid dire financial state

The SABC says it has explored all options but is left with no choice but to lay off almost 1,000 permanent staff members.

SABC group CEO Madoda Mxakwe on 31 October 2018. Picture: Sethembiso Zulu/EWN

CAPE TOWN - The South African Broadcasting Corporation (SABC) is staring at its own day zero, saying it may not be able to pay salaries in a few months’ time.

The public broadcaster was back in Parliament on Tuesday to give the communications portfolio committee a progress report on its financial situation and the planned retrenchments.

The SABC says it has explored all options but is left with no choice but to lay off almost 1,000 permanent staff members.

The public broadcaster has applied for a Section 189 process to retrench staff as part of its cost-cutting measures.

CEO Madoda Mxakwe says: “It’s very difficult for financial institutions to come to our rescue, so all of this means the threat of commercial insolvency is increasing quite significantly and we’ll indeed reach our day zero by end of the financial year.”

Board member Mathatha Tsedu says the financial situation means they can’t even pay for its own content.

“These are people who give us content like Muvhango, Generations - The Legacy and Uzalo who are producing this content at their own expense and give it to us. And we can’t even pay them.”

SABC will now wait on the CCMA, which is facilitating the retrenchment process.

(Edited by Winnie Theletsane)

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