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Labour Law & Unions News South Africa

Prasa board reviewing Labour Court ruling on former CEO

The Passenger Rail Agency of South Africa (Prasa) board is reviewing the judgment handed down by the Labour Court on the termination of the contract of former group chief executive officer (GCEO), Zolani Kgosietsile Matthews.
Image: Facebook
Image: Facebook

“We are currently reviewing the judgment in detail, in consultation with the legal department, and we will communicate any further actions in due course,” Prasa said on Tuesday.

The Prasa board terminated Matthews’s contract in December 2021 after an investigation by seasoned senior counsel that established whether Matthews deliberately and intentionally failed to disclose material information to Prasa in respect of his dual citizenship.

According to media reports, months later, retired judge Robert Nugent ruled that Prasa should reinstate Matthews with back pay during arbitration proceedings.

Prasa applied to the Labour Court to review Nugent's ruling. On Monday the Labour Court reportedly ruled that Matthews’s contract was still valid.

“In promoting good governance, the Prasa Board is committed to ensuring that our actions align with legal obligations and the company’s best interests. The Board Of Control (BOC) remains dedicated to ensuring that Prasa builds on its successful rail rebuilding turnaround.

“Prasa is focused on fulfilling its primary mandate of providing rail commuter services and long-haul passenger rail and bus services in the public interest. The BOC continues to discharge its fiduciary duties whilst upholding a high standard of fairness and integrity,” the agency said.

Source: SAnews.gov.za

SAnews.gov.za is a South African government news service, published by the Government Communication and Information System (GCIS). SAnews.gov.za (formerly BuaNews) was established to provide quick and easy access to articles and feature stories aimed at keeping the public informed about the implementation of government mandates.

Go to: http://www.sanews.gov.za
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