EThekwini Municipality has entered into an agreement with Durban Transport bus operator, Tansnat, in a bid to avert a looming strike by bus drivers.
Drivers threatened to down tools after Tansnat failed to pay them their bonuses and December salary. To avert the strike, the city has decided to pay the Tansnat employees, excluding management, directly and will recover the money from Tansnat.
EThekwini Mayor James Nxumalo said the City has collated the payroll register of all drivers from Tansnat and they would receive money owed them directly in their bank accounts.
“Once we have verified employees’ names and bank accounts, the salaries and bonuses will be paid directly from the City’s account to the drivers. We have also put in place a set of conditions for the money to be paid back to the City by Tansnat,” said Nxumalo.
Nxumalo said the City was concerned about the negative impact the non-payment of salaries and bonuses had on the employees and commuters who rely on the bus service.
The agreement signed with Tansnat stipulated the following conditions:
•The City will pay employees directly and not transfer money to Tansnat for bonuses and December salary.
•Tansnat should open a separate bank account for the bus service and the City will have oversight of how the funds are managed.
•Tansnat has to draw up a repayment plan detailing how it would pay back the money it owes the City.
The process of forming a Municipal entity for the running of the bus service is still underway and the City’s liquidation court application against Tansnat continues. The latest agreement signed by the City and Tansnat does not have any impact on both matters.
