End Tendering System in North West Municipalities – SAMWU

The South African Municipal Workers’ Union (SAMWU) in the North West Province has expressed deep concern over the pervasive fraud and corruption plaguing the province’s municipalities. A significant part of this corruption is intertwined with the tendering system, which, instead of aiding efficient service delivery, has become a breeding ground for exploitation of municipal resources. SAMWU warns that this alarming situation poses a severe threat to the province’s service delivery capabilities and could lead to its collapse.

Over the weekend, shocking revelations emerged regarding widespread fraud and corruption within the Ratlou Local Municipality. The municipality paid exorbitant amounts for services that were never delivered or were severely substandard. For instance, they paid over R2 million for the installation of defective water tanks, R4 million for a non-existent road, and R3 million for a stadium that only exists on paper. Even more concerning is the fact that the municipality paid a staggering R12,000 for a water pump with a normal cost of R400, marking up the price by an astounding 300%. This case is just one of many examples of rampant fraud and corruption within the municipality.

Earlier this year, the municipality’s former Acting Municipal Manager was implicated in a trial for tender irregularities amounting to R7.8 million. These incidents highlight the urgent need for decisive action to curb corruption.

The situation is compounded by recent developments, such as the arrest of two senior employees from the Bojanala District Municipality by the Hawks. These individuals are implicated in corruption involving a staggering R134 million and were responsible for procuring two laptops at an exorbitant cost of R1 million each. These incidents underscore the pervasive nature of corruption within municipal institutions and the need for effective intervention to root out malpractice.

SAMWU has extensive experience in municipalities and has observed a disturbing trend: the tendering system has created a fertile ground for unscrupulous government officials and politicians to amass personal wealth at the expense of essential municipal resources. Many instances of fraud and corruption involve senior municipal leaders compelling employees to execute illegal decisions that violate financial and procurement procedures. SAMWU strongly advises its members and all workers not to succumb to pressure to execute illegal instructions and to seek the union’s assistance when facing such situations.

SAMWU is committed to fostering a culture of ethics and accountability within municipalities, as well as protecting its members from becoming unwitting participants in corrupt schemes. The fallout of fraud and corruption often results in delayed salary payments for municipal employees and outstanding debts to third-party service providers.

SAMWU emphasizes the importance of extending protection to municipal workers who expose corruption in their workplaces. Historically, whistleblowers have faced victimization, wrongful dismissals, and even physical harm. Addressing this issue is crucial to encourage a culture of transparency, integrity, and accountability.

Residents of these municipalities have experienced the detrimental effects of fraud and corruption on local government, resulting in a decline in service quality. SAMWU urges law enforcement agencies to take decisive action against those involved in defrauding municipalities and end the culture of impunity.

Furthermore, SAMWU calls for an end to the tendering system within municipalities, citing its inefficiency and the exploitation of employees. The union urges municipalities to utilize their permanent workforce for service delivery, ensuring fair compensation and job security for workers.