Prasa reinstates Zolani Matthews as CEO after court ruling

24 July 2024 - 11:16
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Prasa says it will comply with an arbitration award and labour court judgment in favour of its axed CEO Zolani Matthews, pictured here, after a protracted legal battle.
Prasa says it will comply with an arbitration award and labour court judgment in favour of its axed CEO Zolani Matthews, pictured here, after a protracted legal battle.
Image: Alaister Russell

The Passenger Rail Agency of South Africa (Prasa) has confirmed the reinstatement of axed group CEO Zolani Matthews after a protracted legal battle that resulted in two bruising defeats for the entity.

“In light of the labour court ruling handed down on July 1, Prasa has reinstated Matthews in compliance with the judgment.

“Considering this decision, Prasa is now engaging Matthews to discuss the implications of the judgment. The organisation respectfully requests time and space to engage Matthews accordingly,” the entity said.

It remains unclear what will happen to current CEO Hishaam Emeran's contract.

TimesLIVE was privy to a letter Prasa chairperson Nosizwe Nokwe-Macamo sent Matthews, informing him the entity had “decided to implement the award, read together with the judgment”.

“Kindly take note the organisation is finalising the necessary logistical arrangements. You will be invited to a meeting with the board of control in due course to discuss your reinstatement and the next steps,” Nokwe-Macamo said.

Matthews had previously written to Nokwe-Macamo after a labour court judgment that ruled his contract as group CEO was still in force and set aside the rail agency's review application of an arbitration ruling made in his favour.

In it, he indicated he was willing to return to work shortly after the ruling.

“I am owed 31 months’ salary in the amount of R14,983,333. I hereby request this be paid into my attorney’s trust account by no later than 5pm on Thursday, July 4, failing which I shall launch an application for contempt of court.”

Matthews was axed in 2021 on the pretext that his dual South African/UK citizenship prevented him obtaining security clearance. He is the son of struggle stalwart Joe Matthews, who lived in exile in England, which is when the dual citizenship was obtained.

In April 2022, retired judge Robert Nugent found after an arbitration that dual citizenship was not a problem and Matthews' contract “did not stipulate the level of the required security clearance”.

He ruled that Prasa should reinstate Matthews with back pay. Prasa took this on review but despite this, still appointed Emeran as its new CEO in April last year.

TimesLIVE


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