Vhembe Concerned Pensioners member dies ‘penniless’ as pension dispute drags on

Public Protector advocate Busisiwe Mkhwebane has sent her condolences to the family, friends and colleagues of one of the complainants in a 12-year pension dispute affecting dozens of former employees of the Venda homeland.

Tshimangadzo Tshiololi, who was part of the Vhembe Concerned Pensioners group, died on Tuesday night “while awaiting justice despite two public protector reports in which findings were made and remedial action was taken in their favour”.

In a statement, Mkhwebane said Tshiololi “joins several of his colleagues who have passed on penniless” without a resolution to their dispute.

Tshiololi and two of his colleagues approached the then public protector, advocate Lawrence Mushwana, in 2008 on behalf of the Vhembe Concerned Pensioners group, alleging that the Government Employees Pension Fund (GEPF) and national Treasury had acted improperly during the privatisation of the Venda Pension Fund (VPF), prejudicing its members.

“They also alleged that as a result of the said privatisation they were not entitled to full pension benefits in terms of the Government Employees Pension Law,” Mkhwebane said.

Remedial action

A 2011 report by former public protector, advocate Thuli Madonsela, found that the complainants had been prejudiced and the Department of Public Services and Administration (DPSA) and national Treasury were directed to review the implementation of privatisation schemes of the former VPF, Mkhwebane said.

Madonsela also directed GEPF to recalculate the benefits for Tshiololi and a colleague “as if they retired with all their service as members of the fund, including the VPF and afford them the opportunity to repay any benefits they might have received, excluding the amounts repaid by them to the Venda government”, Mkhwebane added.

Furthermore, Mkhwebane said Madonsela directed the DPSA and national Treasury to do a forensic audit of the list of the privatisation scheme of the VPF to determine the accuracy of the amounts paid to each member.

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“By 2017 the implementation of remedial action remained outstanding, with government citing a number of stumbling blocks, including fears that implementation would ‘open floodgates’ in respect of the potential of similar claims from former members of pension funds in respect of other erstwhile homeland governments,” Mkhwebane said.

Mkhwebane said she issued a special report which sought to assist Treasury “to expeditiously implement” Madonsela’s one.

Mkhwebane’s report confirmed Madonsela’s findings and remedial action, and allayed the fears government had cited, the incumbent public protector said.

Mkhwebane said she had recommended a process based on a closed list of complainants to establish a reasonably reliable database of beneficiaries.

Mkhwebane added that she also recommended that Treasury allocate funds to facilitate the recalculation of pension benefits by the Government Pension Administration Agency for complainants who joined GEPF after 1996 and/or ad hoc compensation for those who retired before the amalgamation of various pension funds.

Mboweni fights PP report

In March 2019, Finance Minister Tito Mboweni approached the high court to have both reports by Madonsela and Mkhwebane reviewed and set aside. However, the minister’s application was dismissed and he is yet to file appeal papers, Mkhwebane said.

“It is saddening that Mr Tshiololi, like several former civil servants from the defunct Venda administration, passed away while still waiting justice even after successfully obtaining the assistance  and intervention of an independent constitutional institution.

“This case, which spans the tenures of three public protectors, has dragged for a dozen of years, subjecting the complainants to secondary victimisation. We plead with government to do right by the Venda pensioners and families,” Mkhwebane said.

Mkhwebane assured Tshiololi’s family, friends and colleagues that her office would do everything in its power to ensure justice was served.

Media Statement | PP @AdvBMkhwebane saddened by the passing of Mr. Tshimangadzo Tshiololi of the Vhembe Concerned Pensioners pic.twitter.com/KBC1w1azwE

— Public Protector SA (@PublicProtector) January 7, 2021

Compiled by Makhosandile Zulu

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