Wesgro CEO Tim Harris salary increase row leads to chair and director resigning

Barbarian Conan

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Given that wesgro is a Schedule 3C Public Entity, it's not independent. It relies on government funding (i.e. taxpayer funds) and is considered an extension of a public entity. So no...
So yes, it does appear that it could be a bit dodgy.
However, being member of a political party shouldn't disqualify someone for a job. It just should not be a reason for getting the job in the first place.

"Tim Harris has proven himself an excellent CEO, with a stellar track record of delivery at Wesgro. Under his leadership, investment in the Western Cape increased by 32% and international tourism increased by 16%. The Wesgro team also facilitated R20 billion worth of exports and R8bn worth of film production during that period," says Figaji.

He says the terms of the new contract for Harris were determined by following a comprehensive benchmarking exercise led by an external remuneration consultant.

"We are absolutely satisfied that the reappointment at an annual salary of R2.5 million is market-related and represents value for money. The current contract represents a R427 000 increase over his previous contract which was unchanged for the previous five-year period. It must also be noted that this increase will be substantially less after tax and other deductions," said Figaji.
Firstly, to really benchmark his performance, we need to compare it to the national average, as well as to specifically Gauteng and Durban.

Then, that increase looks like about 25% after 5 years of not getting an increase. That's less than 5% increase per year.
Not exactly gravy train level increases.
 

thechamp

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So yes, it does appear that it could be a bit dodgy.
However, being member of a political party shouldn't disqualify someone for a job. It just should not be a reason for getting the job in the first place.



Firstly, to really benchmark his performance, we need to compare it to the national average, as well as to specifically Gauteng and Durban.

Then, that increase looks like about 25% after 5 years of not getting an increase. That's less than 5% increase per year.
Not exactly gravy train level increases.
Hypothetical question, what do we do if someone who was appointed under dodgy circumstances turns out to be very good at his job? Do we excuse his dodgy appointment and all is forgiven?
 

Barbarian Conan

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Hypothetical question, what do we do if someone who was appointed under dodgy circumstances turns out to be very good at his job? Do we excuse his dodgy appointment and all is forgiven?
Interesting question....
Allow me to go through my though process while reasoning it out...

To me, dodgy circumstances is if they aren't the person you believe to be the best suited to perform the role to the benefit of the company/department, but either because you are doing them a favour, or want them to do something for you, possibly to the detriment of the company/department.

Typically in politics people get high paid positions as a reward, or favour, for some other service they've done in the past. Or to advance party goals within that department/company.
This is obviously bad.

Usually in the private sector, you won't be able to clearly say someone was appointed for the wrong reasons, as I don't think requirements are that clear or well defined. Interviews sometimes get down to subjective criteria. For example, I would quite easily hire a dev without a degree and fewer years experience over one with a degree and less experience if I get a feeling that they will be better at the job.
And to be honest, I don't care who (for example) Vodacom employs, as I am not forced to pay them vast sums of money every month. I can choose whether I want to or not.

Government is different, and I presume there are very clear guidelines. If someone without a degree and less experience is hired in government over someone with a degree and more experience, people will be up in arms. Especially if it is a family member of a politician.

But... I don't think its necessarily dodgy. If Zuma's daughter or whichever family member it was that became head of a department a while back made a resounding success of the position, I would concede that it wasn't dodgy after all. That they must have been the best person for the job all along.

If it was a proven dodgy appointment, in other word, had failed in similar or lower positions in the past without good reason, and did not have the necessary qualifications, then yes, someone's head should roll.
If someone is a long shot appointment, meaning they appear under qualified, but haven't proven to be a failure yet, then the proof will have to be in the pudding. And the person doing the hiring should be held accountable for that person's failure as well.

Edit: I want to add that just not failing outright is not a success. If South Africa's growth remained the same, but Wesgro's growth declined significantly under the CEO, it wasn't a success. Unless of course there's good reason, like unmatchable growth the previous years, or the previous CEO focussing on the short term instead of the long. Something I think many CEOs with short term bonusses do...
Or, if the rest of SA experienced a sudden growth spurt with great national government initiatives, but the Wesgro CEO could only manage the same growth, it wasn't a success.
That's what I really dislike about most articles these days, it's almost as if everything is clickbait to some extent.
 
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SauRoNZA

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Hypothetical question, what do we do if someone who was appointed under dodgy circumstances turns out to be very good at his job? Do we excuse his dodgy appointment and all is forgiven?
Everything should be performance based including the appointment in the first place.

Both of those are lacking in most cases, relying on often fake or irrelevant degrees with zero experiences to get in the door and then failing miserably without reprimand.
 

Excalibur

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Now, an internal dispute about a decision to hike CEO Tim Harris’s salary by R427,000 to R2.5m a year, has led to the resignation of two board members, which could threaten the proper functioning of the agency.

Harris is a former DA MP, and a parliamentary counsellor to former DA leader Lindiwe Mazibuko . He also served as shadow minister of finance from 2012 to 2014, and was the director of trade and investment in the office of the Cape Town mayor until March 2015, before joining Wesgro.
Link.
 

NarrowBandFtw

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Under his leadership, investment in the Western Cape increased by 32% and international tourism increased by 16%, he said. The Wesgro team also facilitated R20bn worth of exports and R8bn worth of film production during that period
he looks like one smug p035, but with that track record a 500k annual increase is peanuts and well deserved, MEC trying to fix something that isn't broken?

why not just attach the bulk of his salary to performance (if it isn't already)? the number is immaterial as long as he brings in multiples more
 

thechamp

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Hey if you can do it, so can everyone else.

Hi-5's Tim..
Looks like hypocrisy is the name of the game in the DA, remember when they wanted MPs to vote with their conscience? Their councillors tried it but they were swiftly dealt with, it must be hard not knowing whether you are coming or going in that party.
 

surface

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Hey if you can do it, so can everyone else.

Hi-5's Tim..
I am sure you don't look at other people around you and say 'hey - there are worse people than me, so let me do some corruption?"

Do you?
 
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