BUSINESS NEWS
Ceta to settle payment dispute
Posted Mon, 19 Dec 2005
A payment dispute involving the Construction Education &
Training Authority (Ceta) is expected to be settled by the end of
the year.
The Ceta, which has been under fire for non-payment of millions
of rands owed to suppliers, expects to start the New Year with a
"clean slate".
"We have processed all invoices for September and October and by
the year-end we will have paid all current invoices," says Teboho
Thejane, newly appointed chief executive.
"We have been burning the midnight oil in our efforts to get our
creditors up to date and eliminate the backlog."
Non-payment to service-providers has led to angry exchanges in
the media involving trainers, employers, industry bodies and CETA,
accompanied by charges and counter-charges of mismanagement and
corruption.
Trade union Solidarity last week called for an official audit
after the authority called on the SAPS to investigate corruption
charges totalling R150-million.
The charges relate to false claims submitted by training
providers for the registration of "ghost learners".
Solidarity said Ceta had managed to overspend its budget by R250-
million, after — according to Ceta claims — too many learners
were registered in an attempt to expedite a solution to the skills
shortage in the construction industry.
"Ceta still owes training providers R69-million in this regard.
The situation has deteriorated to the extent that some of the
training providers have not been paid.
"Training providers are now at risk of being liquidated, which
would also bring to an end the training of many learners," said
Solidarity's director of training, Theuns Steenkamp.
Ceta entered into R452.7-million worth of memorandums of
agreement with training providers for the future training of
learners. According to Ceta, this amount was in addition to the
existing R250-million overspend.
Settling the non-payment
dispute became a priority for Thejane
when he assumed executive control of CETA following the sudden
resignation of its former CEO, Themba Dlamini.
"We want to start 2006 with a clean slate, both with our
accounting records, and also from the viewpoint of our
relationships with our various stakeholders, including training
providers and the Master Builders Association," Thejane said.
Some members of MBA have expressed bitter criticism over the
conduct of affairs by CETA management.
Thejane, who joined CETA in September in the middle of the
non-payment crisis, added: "I believe we have buried the hatchet
with the MBA, though some issues have still to be resolved. CETA is
not beyond criticism — indeed I welcome it if it is constructive
and contributes to our joint purpose, which is building skills in
the interests of the construction sector and our country."
Sapa
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