Every person in South Africa talks about it, yet nothing is done about it, and companies seem to be able to justify the paying of it, yet we are heading for a recession of epidemic proportions in the country.
Management and more so Chief Executive Officers in South Africa are raking in the millions on a monthly basis, and with the fact that companies are obliged to report on the remunerations that it pays to management; some startling figures come to the fore.
The Chief Executive Officer of MTN, Sifiso Dabengwa in 2012 earned R 23, 5 million yet in 2014 his earning jumped to R 48 million. From previously earning almost R 2 million per month he now receives R 4 million per month.
But the story doesn’t end there:
Bennefor Magaro the Chief Executive of Lonmin, one of the mines where workers are striking earned R 12,9 million in salary and received an additional share-option of R 11,0 million totals his package at R 23,9 million.
The Chief Executive Officers of Escom (Brain Dames) earns R 8,4 million per year, Transnet’s (Brain Molefe) R 12,7 million, but to name but a few.
How does anyone justify paying someone R 4 million per month is beyond my wildest imagination. And to double his salary in one year makes it even more absurd to say the least.
We are in a country with very high unemployment figures with almost 4 out of 10 people being unemployed, yet we can pay people salaries which amounts to millions, instead of concentrating on the betterment of salaries for those that make it possible for the companies to be lucrative and profitable. A sick balance of awarding people for their input would be appropriate to say.