Zwelinzima Vavi's statement on sacking of Finance Minister, 10 December 2015

The unceremonious and humiliating sacking of the former Finance Minister is nothing less than a shocking indictment of the way in which the current regime is mismanaging affairs on our behalf. 

The dismissal of a Finance Minister, possibly the most senior and sensitive portfolio in the Cabinet, without stated reasons beggars belief, especially at this super sensitive time for the South African economy.

Many of us are asking how the leader of the Government, 48 hours after receiving a devastating credit rating, one point away from our country being described as a 'junk' investment destination, can see fit to 'relocate' the Finance Minister while praising him for doing well on the one hand, and then assigning him to an as yet unknown 'strategic position'.

The fact that no tangible explanation has been given have only confirms that the real reasons for his removal are not being stated. What is staggering, even accepting the President’s prerogative for the hiring and firing of Cabinet members, is that this drastic action was clearly not discussed beforehand. The silent compliance of other Cabinet members, not to mention Alliance leaders, increasingly resembles the orchestra on the Titanic who played on regardless as the unsinkable liner slid beneath the icy waters of the ocean. 

It does not take a detective however to discern the real reasons for Nene’s relocation. It is emerging that the former Finance Minister raised objections about the SAA fleet purchasing debacle, and was unwilling to succumb to the wishes of the President’s personal friend and Chairperson of his Foundation, Dudu Myeni. 

As if this was not bad enough, he also raised questions about the nature of the R1 trillion nuclear deal with Russia, which the President had made his own pet project. There are also indications that he was not entirely happy with the terms, still to be properly reported, of the billions of investment promised from China. Both the former Finance Minister, and the current Minister for Trade and Industry have been almost absent from the love in between President Zuma and the Chinese leadership.

Let us be clear. The Finance Minister has not behaved like a friend of organised labour. His determination to follow an orthodox neo-liberal economic policy, which, we might add, has the overwhelming support of the Government, combined with his readiness to impose austerity measures, have not endeared him to those of us fighting for a more equal and people centred society.

However, one can at least respect his commitment to his held positions, his willingness to engage, and perhaps most tellingly, the fact that he has not been implicated directly in any corrosive corruption scandals. This is increasingly rare.

What does this state of affairs tell us about the direction we are heading? 

As the Rand creeps further towards becoming a currency in free fall, making it almost impossible to balance exports and imports, and worse, to drastically sideline the possibility of any tangible plans based on meeting the pressing needs of our people by progressive means.

Currency speculators, who will determine our future are in the business of accumulating millions by selling off currencies such as ours at Black Friday knock down prices. They do not care about the longer-term impact on jobs and poverty, or the need to invest in infrastructure, or to protect vulnerable sectors against cheap and inferior imports, or to assemble reserves which can be used to offset the costs of an expanding labour intensive green economy. Allowing the Rand to be at the mercy of the currency speculators must be the equivalent of asking turkeys to look forward to Xmas!

And the new Finance Minister? What our country does not need at this time is a neo-liberal austerity programme made far worse by someone who has already failed to meet the grade in positions bearing far less responsibility. It increasingly appears that the only reason for the new appointment rests on a willingness to be compliant. Will he do his masters bidding? Of course he will!

And this is the not so good story to tell. We now have a President, surrounded by impotent praise singers, some who pay homage to the hammer and sickle, who fashions his Cabinet and makes other critical appointments, not on the basis of implementing manifesto pledges, or attempting to meet the needs of our people, but rather to ensure that unfettered elite accumulation, by fair means or foul, can proceed without hindrance.

We are sorry to say, but this looks like we have entered a period when a predator elite, presiding over an emerging kleptocracy, are so arrogant and confident to openly ride roughshod over the concerns of our people by relying not on their track record of delivery, but rather by ruthlessly exploiting our people’s attachment to the once glorious history of the liberation movement. However, you cannot fool all of the people all of the time!

For those of us who still believe that South Africa can be radically transformed to become a country where inequality, poverty and unemployment are a thing of the past must acknowledge that our work is now more urgent than ever. There is no time or effort to be wasted in rebuilding a vibrant, independent and united trade union movement, working alongside a mobilised civil society to challenge these negative developments, and to save our country from those who have abandoned it to swell their own already bulging bank accounts.

Statement issued by Zwelinzima Vavi and Nine Plus Unions