Reinstate NYDA CEO, court rules

2013-10-21 13:35

Multimedia   ·   User Galleries   ·   News in Pictures Send us your pictures  ·  Send us your stories

Johannesburg - Axed NYDA CEO Steven Ngubeni must be reinstated as his dismissal from the agency was unlawful, the Labour Court in Johannesburg ruled on Monday.

Judge Andre van Niekerk said a decision by the National Youth Development Agency (NYDA) to fire Ngubeni was in breach of his contract of employment.

"The termination of employment is set aside and the applicant [Ngubeni] is reinstated in the first respondent's [NYDA's] employ until there has been compliance with clause 10.1 [of the contract]," the judgment reads.

The NYDA was ordered to pay the costs of the proceedings.

Clause 10.1 of the contract stated employees could be fired after a disciplinary hearing found them guilty, if they committed a "breach of material obligation", or if they were found guilty of any act that would entitle the NYDA to terminate their employment.

On 8 October, the NYDA board decided to fire Ngubeni after it came to the conclusion he was guilty of financial mismanagement and gross dereliction of duty.

"The decision was taken in circumstances where an independently chaired inquiry, initiated by the NYDA and appointed to hear the case against Ngubeni, had not yet completed its work," the judgment reads.

Ngubeni reportedly faced seven charges related to signing off loans later converted to grants in three projects valued at over R30m, before the approval of the board.


According to the judgment, Ngubeni sought an order reinstating him so that the inquiry could continue, and it could be determined whether he was guilty of the charges.

The NYDA argued that it acted within its powers in the termination of the contract.

It argued that a disciplinary inquiry should only be applicable to the first category in the clause.

Ngubeni argued that an employee could be fired in any of the three instances.

However, this could only be done after disciplinary procedures were allowed for all the categories.

"In my view, the interpretation proffered by Ngubeni must prevail," Van Niekerk said in the judgment.

"The purpose of fair procedure on this reading is to establish whether any of these three situations in fact exist."

Van Niekerk said that even if he was wrong to determine that the contract allowed Ngubeni fair procedure, "the fact remains that the NYDA's letter to Ngubeni on 27 July offered him a hearing on specific terms".

Read more on:    nyda  |  steven ngubeni  |  johannesburg

Join the conversation! encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions.
NEXT ON NEWS24X publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Inside News24

Competition regulation for a growing and inclusive economy

ADVERTORIAL: The Competition Commission of South Africa is conducting advocacy work in the South African automotive aftermarket industry and has gazetted a Draft Code of Conduct for public comment.

Traffic Alerts
There are new stories on the homepage. Click here to see them.


Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire network.


Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.