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Unions welcomes decision to place Prasa under administration

Satawu's Zanele Sabela said the union hoped to sit down with the Mpondo to share their concerns about Prasa and help return the company to stability.

Transport Minister Fikile Mbalula addresses Prasa employees and the media at the state-owned entity's headquarters. Picture: @MbalulaFikile/Twitter.

JOHANNESBURG - Transport unions say the decision to place mismanaged Prasa under administration was a positive move that has the potential to finally stabilise the business.

On Monday, Transport Minister Fikile Mbalula made the announcement, which sees Bongisizwe Mpondo take over as administrator for a year.

The aim is to stabilise Prasa, which has been crippled by mismanagement and corruption for years.

Satawu's Zanele Sabela said the union hoped to sit down with the Mpondo to share their concerns about Prasa and help return the company to stability.

Although the union is welcoming the move, Sabela said they were concerned about a few things.

“Mostly, we’re concerned about modernisation - considering the old infrastructure and old system of working; we want to protect our members’ jobs.”

Untu's Sonja Carstens said they were fully behind Mbalula’s plan.

“We hold ourselves as the leadership of Untu to be available to find solutions to Prasa’s ongoing problems."

Meanwhile, Parliament's Standing Committee on Public Accounts has welcomed the announcement, agreeing that the matter needs urgent attention.