UNTU wants PRASA to come clean on its relationship with Gibela Consortium

CAPE TOWN - The United National Transport Union (UNTU) is calling on the Passenger Rail Agency (PRASA) to come clean about its relationship with Gibela Consortium.

In 2013, Gibela secured a R51-billion contract to supply PRASA with 600 new trains.

UNTU said at the time, the deal was presented as a job creation initiative and a venture to upskill PRASA employees to manufacture locomotives locally.

However, the union said the consortium has excluded PRASA employees and has sourced staffers abroad.

READ: 'Deep dive' into PRASA uncovered serious fraud, SIU tells SCOPA

This week, PRASA told Parliament's standing committee on public accounts (SCOPA) that 2,500 employees would be laid off due to financial constraints.

The union's Athenkosi Plaatjie said employees have been at risk of losing their jobs since the consortium took over maintenance and manufacturing operations.

"UNTU urges the Minister of Transport and SCOPA to look beyond PRASA's presentations and engage directly with employees on the ground. UNTU is of the view that what is happening at Gibela is a prelude to the future of State-owned entities as the government continues to introduce private sector players and sideline State-owned enterprise (SOE) employees.

"UNTU plans to rope in our federation, FEDUSA, to strengthen the fight against the sacrificing," Plaatjie said.