Sars reinstates two employees dismissed during Bain 'restructuring'

The South African Revenue Service (Sars) said on Tuesday it has settled the labour dispute with two former employees.

In August the labour court ordered the reinstatement with effect from September 1, with back pay, of executives Hope Mashilo and Tshebeletso Seremane, who were dismissed in 2017 after questioning the service's “restructuring” process.  

The court said their sin was to question the integrity of the restructuring by then commissioner Tom Moyane with management consulting firm Bain & Company as service provider.

Mashilo blew the whistle on the alleged unlawful appointment of Bain at Sars. 

“This marks a further milestone in reversing and repairing the adverse effects of the capture of Sars and its journey to rebuilding public confidence and trust,” Sars said.

The authority said it acknowledged the harm caused to Mashilo and Seremane when in 2015, as a result of the infamous Bain restructuring process, their positions were downgraded.

Sars said they were told to accept positions which were not on the approved new structure, their repeated requests for information fell on deaf ears, and when they refused to take those positions, it led to their dismissal “due to operational requirements” in terms of the Labour Relations Act.

“This is a complex matter and involves the interests of two former employees who were adversely affected by the actions of a Sars leadership intent on capturing Sars. In such a situation, not only were the former employees adversely affected by the erstwhile commissioner of Sars but Sars too became a victim of capture,” Sars commissioner Edward Kieswetter said.

Kieswetter said he had a fiduciary duty to safeguard the integrity of the institution, the moral and legal obligation to reverse the adverse effects of the capture of Sars.

“It remains imperative that the process we follow has integrity, allows for restorative justice and healing, as well as initiate and sustain Sars’ journey to rebuilding public confidence and trust.”

Kieswetter said some had alleged he had have been insensitive to the plight of women and single mothers.

“Throughout my working life, I have demonstrated unwavering commitment to manage with empathy and advance towards equality for men and women in the workplace when it comes to equal treatment, equal social standing and equal voice. The two parties are no exception in this regard.”

Kieswetter acknowledged that Sars’ actions had a devastating and profound effect on Mashilo and Seremane and their families.

“Sars regrets the hurt, pain and suffering visited on them and their families. I hope that with the conclusion of this process, the affected individuals and their families may experience a sense of closure and continue their own journey to healing and restoration.”

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