Compensation Fund Sent Away For Lack Of Preparedness

NOVEMBER 5, 2014

The Portfolio Committee on Labour has sent the Compensation Fund (CF) away for lack of preparedness. The Committee’s decision followed CF’s inability to answer questions regarding provincial operations of the entity.

“The entity is seriously challenged and the Committee understands that, but the board needs to actively attend to issues impacting on the functioning of the entity. The Committee is not convinced by the reasons given on why the CF is dependent on consultants for virtually everything,” said Lumka Yengeni, Chairperson of the Committee.

The CF came to brief the Committee on its plans to address performance and governance challenges within the entity. CF delegation could not answer questions regarding vacancies in provinces. It was revealed that challenges the entity faced were structural and complex.

The Committee resolved to schedule an urgent meeting with the CF board, the Commissioner and the Director-General of Labour to answer to all the challenges regarding the entity. The CF was also instructed to gather all the required information in seven days and comeback to report to Parliament.

“Vacant posts affect the performance of any institution and are negative to service delivery. This is the aspect that the CF has to address with immediacy,” she said.