NEF CEO’s jetsetting spending spree shows neglect for creating jobs
3 May 2016
We can today reveal that the National Empowerment Fund (NEF) CEO, Ms. Philisiwe Mthethwa, who is also the wife of Minister of Arts & Culture, Nathi Mthethwa, continues to live the high-life at tax payers expense while black entrepreneurs remain unable to access funding from the NEF and subsequently create jobs.
In a reply to a DA parliamentary question it is revealed that Ms Mthethwa blew R322 373,58 in the last financial year on business class flights, locally and internationally, hotel accommodation, car rental and substance allowances. Nearly R190 000 was spent on three international trips alone.
While Ms Mthethwa continues to fly business class for domestic trips, despite cost cutting measures the DTI has had to endure over the last few years, it would seem that Ms Mthethwa does not believe these apply to her.
I will be urging the Chairperson of the Portfolio Committee on Trade and Industry to summon Ms Mthethwa in order for her to answer to Parliament regarding the gross under performance of the NEF in empowering black entrepreneurs in creating jobs; she must satisfy Parliament that her travels were justified and within the mandate of her role as CEO.
Furthermore, the DA calls on the Minister to urgently issue a directive that no DTI staff member, entity board member or CEO may fly business class if there are cheaper options available and Ms Mthethwa appear before the committee to account for her actions.
The NEF has been plagued with funding shortages with less and less jobs being created, it is scandalous that the CEO is allowed to live the good life while so many South African’s struggle to find work. On the jobs front, the NEF have created only 2213 jobs by the 22nd Feb 2016 or 40.8% of their annual target. On the value of deals approved, the NEF have only achieved 80% of their annual target and only 70% of the new commitments target by the 22nd Feb 2016 with only a month left of the performance year.
Ms Mthethwa is no stranger to controversy. In 2014 the DA revealed that she was the highest paid CEO in government entities pocketing R 5,208,143 including R1,593,288 entitled “bonuses & performance payments”, and a further R637 315 which was a “long term bonus payment”. This was over and above her basic annual salary for that year.
In the previous financial year, Ms Mthethwa earned a basic salary of R2 421 512. In questioning this outrageous salary by the DA, the NEF CEO was unable and unwilling to justify these ludicrous amounts when compared to the pathetic results achieved by the NEF.
It has now become abundantly clear that Minister Davies needs to reign in the Gucci-styled CEO and start putting black entrepreneurs first.
The DA will not rest until the NEF becomes a vehicle to fund and support entrepreneurs to create jobs which the unemployed so desperately require. South Africans have a chance to vote for change that stops luxury living for the politically connected in the ANC and prioritises jobs for the 8.2 million South Africans without.
Issued by Dean Macpherson, DA Shadow Deputy Minister for Trade and Industry, 3 May 2016
