Cape Town - Negotiations for outstanding payments to security companies contracted as service providers for the Passenger Rail Agency of SA (Prasa) are at a “sensitive stage”.
This as employees of Chippa Training Academy became the latest to bemoan their unpaid salaries, joining Chuma Security Services, Sechaba Protection Services and Supreme Security workers in a years-long battle for steady payments.
Mark Hess, the lawyer acting for Chuma, Sechaba and Supreme Security, said that he was currently negotiating settlements of arrears increases with Prasa.
Hess could not divulge further information regarding the negotiations as it could jeopardise the negotiation process.
Hess could, however, confirm that as per a board resolution reached in November 2018, Prasa acknowledged that the rates they were paying the service providers were "far below the statutory rates", and confirmed that the new rates would be implemented with immediate effect.
However, the parastatal railway service provider failed to implement the resolution and the service providers instituted legal proceedings to recover the arrears increases.
The Cape Times previously reported that Prasa “could not meet its financial obligations”, which led to the private security companies instituting legal action.
During 2021, Western Cape High Court Judge President John Hlophe granted relief, ordering that the parastatal continue the contracts on the same terms and conditions until alternative measures were in place.
Prasa spokesperson Andiswa Makanda said: “The Hlophe ruling is clear:
“1) Finalise a security plan for national and regional deployments;
“2) Pay the security providers up to date and 3) Provide permits to operate on the rail in the Western Cape.
“All three items have been complied with.
“People must note that the security companies had previously taken Prasa to court regarding the same issues for which Prasa had got a favourable judgment,” said Makanda.
Probed about a new security company being used along the central line for security purposes, Makanda said that the deployment of the new company was an "intervention unit“.
“(The company) is used for intervention unit for relocations and ad hoc services.
“It’s not anywhere near the current deployments in the Western Cape where the applicants are deployed.
This was awarded through the ACSA deviation. We are complying with the ruling,” said Makanda.
Security staff employed by soccer club boss Chippa Mpengesi on Monday handed over a memorandum to Prasa, saying that they were not paid their salaries for March and April.
The employees, also apparently enduring inconsistent salary payments, said that they had been subjected to poor working conditions and the Chippa Training Academy placed the blame for non-payment at the doorstep of Prasa, saying it had reneged on its contractual obligations.
Cape Times