The SABC is about to collapse
The SABC is in chaos and its finances are in a terrible state, according to a report by the City Press.
The report stated that the production of new TV shows has been halted and employees are worried they will not be paid.
This follows the SABC admitting it was under financial pressure and was “funding activities from its reserves”.
An SABC insider told the City Press that the broadcaster is on the verge of a financial collapse. “It’s worse than the SABC’s financial collapse in 2008,” stated the report.
Another issue was a “human capital management crisis”, which saw staff members being “reduced in tranches” to bring down a high wage bill.
The reportedly tough financial situation did not stop acting CEO James Aguma from receiving a 67.25% increase in salary last year and a 13th cheque of R181,000.
Massive loss
The report follows the SABC confirming it made a loss of R411 million in the 2015/16 financial year.
The broadcaster has also been plagued by multiple scandals in recent weeks, including:
- A parliamentary inquiry which required a new board to be established.
- Communications Minister Faith Muthambi wanting to go to court to contest Parliament’s SABC inquiry report.
- SABC editorial policies being declared invalid by ICASA.
- The SABC admitting it does not know who has a TV Licence.
Now read: Well played SABC, you had me over a barrel
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