Emfuleni Local Municipality (ELM) has spent R55 315 741.84 in a legal dispute with an employee over unfair labour practices relating to benefits on acting allowance, while residents suffer from a constant shortage of water, poor refuse collection and persistent power outages.
This money spent on outsourcing legal services could have been used to improve service delivery, and legal services could have been provided internally instead.
This information was revealed by the Gauteng MEC for Cooperative Governance and Traditional Affairs (COGTA), Mzi Khumalo, in a written reply to the Democratic Alliance’s (DA) questions in the Gauteng Provincial Legislature (GPL).
According to MEC Khumalo, the following legal firms were paid for the legal dispute between Emfuleni and its employer, Edward Radebe:
• Madhlopha and Thenga Inc Attorney: R37 541 183.96
• Kgokong Attorney: R47 500.00
• Botes Heerden Incorporated: R15 996 244.35
• Mojela Hlazo Attorney: R1 730 813.53
The legal fees were paid to these firms between 1 July 2017 and 24 March 2024.
The cash-strapped Emfuleni Local Municipality is struggling to deliver services to its residents, and it is unacceptable that it is spending such staggering sums of money to fight one labour dispute when the Labour Court has already ordered it to pay R739 551.42.
The return on investment for the Emfuleni ratepayer, on this out-of-control spending is non-existent.
The municipality’s exorbitant spending on outsourced legal representation indicates a lack of capacity within its internal legal unit. It has now become the norm for Emfuleni officials to use law firms representing the municipality to loot public funds, which is a major concern.
The DA demands that MEC Khumalo immediately intervene and ensure the Emfuleni legal unit serves its purpose of handling legal issues about the municipality. Furthermore, Emfuleni’s labour disputes must be resolved quickly and internally, not at the expense of ratepaying residents. We will also be referring this matter to the Public Protector should the MEC fail to investigate and hold those implicated to account.
