---------- Forwarded message ----------
From: Patrick Craven <[email protected]>
Date: Mon, Dec 5, 2011 at 11:41 AM
Subject: [COSATU Press] Limpopo facing possible financial collapse
To: [email protected]


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*COSATU Limpopo Province media statement for immediate release, 5 December
2011*

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COSATU Limpopo Province is shattered by the shocking news in the weekend
newspapers alleging that the government of Limpopo is facing possible
financial collapse.****

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The weekend papers also allege that the government may not be able to pay
salaries of its employees in the last quarter of the its current financial
year and that infrastructure development projects may have to be suspended
and that social services in education and health are the hardest hit.****

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We are quite concerned that while unemployment in Limpopo is so high, even
funded vacant posts will not be filled this year, and that contract workers
like teachers may be retrenched en masse.****

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Firstly we are saddened by conflicting statements from the Provincial
Treasury on the requested bailout of about R700 million, because we suspect
that were the department to do a comprehensive review of the financial
stability of the whole government, surely we might find that as a province,
we might not be below R2,5 billion in the red.****

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We hope that austerity measures imposed by Provincial Treasury on public
servants also include travelling expenditure by Public Representatives,
especially those allocated official vehicles but who prefer to utilize
their privately owned vehicles just to milk the state.****

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We hope and believe that National Cabinet, in its meeting today, will
approve the required bailout, with one condition, that the financial
powers/authority delegated to the Provincial Government be withdrawn and it
becomes the sole function of National Government (Section 100).****

****

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*For more information kindly contact COSATU Limpopo Provincial Secretary,
Dan Sebabi on 082 773 2421 or 072 515 6699*

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Gugu Ndima
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