The budget for the financial year 2016/17 is still not approved.  It shows a financial shortfall of +/-R42 million.

The Admin and Collective Bargaining Levy agreements that will ensure income for the Council is yet to be finalized.

At our last meeting of 10 January 2017, the employers indicated that they need more time to enter into the outstanding levy agreements as well as our rescue plan for the MEIBC.  A meeting has now been agreed to for 9 February 2017.  The Department of Labour will be involved, albeit as silent partners at this stage.

Two of the major creditors are Tokiso (Dispute Resolution) and the external Legal Advisors of the Council.  The General Secretary gave the assurance that dispute resolution will continue, although at a slower pace.

All meetings will continue as planned.

Despite threats from creditors that might apply for liquidation, nothing materialized so far. The General Secretary is in the process to finalize a ‘pay back’ plan with them.

Solidarity, who is not part of Labour rescue plan grouping filed a document to appoint a curator.  The legal advice obtained indicates that their process is not in line with legislation.

In summary, although there are serious financial difficulties in the MEIBC, it has not been liquidated and it still operates, albeit at a slower pace.