Ramaphosa to meet Busa over McKinsey and Bain controversy

Amid growing pressure on Business Unity South Africa (Busa) to withdraw the appointment of state capture-implicated foreign firms, CEO Cas Coovadia confirmed the body would meet President Cyril Ramaphosa on the matter.

Concerns center around Bain and McKinsey’s roles in the G20 and the Energy Council of South Africa.

The Presidency, the Black Business Council (BBC), and UK-based anti-apartheid veteran Peter Hain were the first to voice opposition.

Labour unions have since joined, opposing McKinsey’s role as a supporting partner to the B20 and Bain’s involvement in the Energy Council’s project management office.

ALSO READ: State capture-implicated firms McKinsey, Bain spark G20 row

Cosatu slams McKinsey and Bain’s ‘state capture whitewash

McKinsey and Bain were implicated by former Chief Justice Raymond Zondo for enabling state capture during the Jacob Zuma presidency, which saw billions siphoned from state-owned enterprises.

This has fueled unease over their appointments.

In a statement, Cosatu condemned “organised business’ shameful attempts to whitewash state-capture-tarnished McKinsey and Bain.” Spokesperson Matthew Parks called it “an insult to South African workers still paying the price for the damage done to Eskom, Transnet, Sars, and the economy.”

Cosatu highlighted McKinsey’s guilty pleas and penalties related to its roles in Eskom and Transnet. Bain, Parks added, was discredited by the Sars inquiry for its involvement in state capture.

The SA Federation of Trade Unions called the appointments “a case of classic public-private plundering,” warning they reflect patterns that have led to social unrest in other African countries like Mozambique, Nigeria, and Kenya.

ALSO READ: McKinsey to pay back about R650m it scored from SAA, Transnet contracts