The South African Union of Journalists has run out of money to finance its operations because its restructuring plan has dragged on for months.
Joel Avni, the union’s acting treasurer, resigned from the national executive council (NEC) this week because he said he had lost confidence in senior members’ will to comply with the union’s plan to cut costs. He said delays orchestrated by NEC members had cost the union hundreds of thousands of rands.
The union has been under financial strain for years and an emergency congress was held in June after it was revealed that the union was stripping money from the journalists’ unemployment fund to pay operational costs.
The congress passed a resolution instructing the NEC to restructure the union. The congress also ordered a forensic investigation to look into allegations of money squandering, inadequate accounting and two sets of financial books that did not correspond, and concern about the union staff’s salaries and benefits.
The congress approved a loan of R250 000 for the union’s running costs until the restructuring took place. Only R45 000 of this loan is left, which means the union will not be able to pay operational costs this month without liquidating investments meant for other purposes, says Avni.
Sven Lunsche, trustee of the union’s investment funds, says the situation is “dire”. The union can only be dissolved after a two-thirds majority vote and a special congress. If the union were dissolved funds remaining after debts are paid off would be divided among its members. Lunsche is confident that this will not occur if the running costs are reduced.
Avni says NEC members have thwarted the restructuring process. “We have not implemented a single step towards restructuring and the spending has continued unabated.”
Bongi Sishi, acting president, says the NEC has called a meeting on September 6 for a report back from committees dealing with the restructuring. “We held a meeting in July where these committees were appointed to look into the issue.” He says this meeting will decide on the direction to follow.
Avni says the unemployment fund has dropped from R5,2-million to R3,5-million within a year.
“It is up to members to put pressure on the NEC,” says Robert Greig, an NEC member. He says members are justifiably impatient and angry but should wait until the NEC meeting. He is against the journalists’ unemployment fund being depleted to continue paying the running costs of the office.
“There are intricate issues relating to the staff but not that intricate that it cannot be resolved swiftly.”