More than 30 years after the first pension deductions went missing at Great North Transport (GNT), the Limpopo government is now offering just R22 million to settle a debt that pensioners say is more than ten times that amount.
From 1994 to 2026, generations of GNT workers — drivers, cleaners, mechanics and administrators — had money deducted from their salaries every month for pensions and medical aid.
The money never reached their funds. Now, as the bus company faces collapse and possible retrenchment of hundreds of workers, government has stepped in with what pensioners are calling an insult.
GNT is a government entity meant to transport hundreds of workers across the country on a daily basis.
Speaking to Africa Daily on Thursday, Harry Masindi of the Make It Happen Foundation (Mihafo), which represents current and former GNT employees, confirmed the offer but said it falls far short.
“There were actuaries that were appointed and they did not do a good job to determine how much exactly is being owed to these employees… so the South African Human Rights Commission was appointed,” Masindi said.
“The Government has said to us that they are prepared to pay but don’t know how much they should pay despite the fact that it was R300 million that got lost.”
The R22 million bail-out comes after yet another R12 million bail-out last year just to keep the bankrupt entity afloat.
GNT is owned by the Limpopo Economic Development Agency (LEDA), which has repeatedly promised to fix the crisis.
Two years ago, LEDA CEO Thakhani Makhuvha said the agency would “make the necessary payments and bring all outstanding contributions up to date.”
“We have taken an important decision, as GNT’s shareholder, to make the necessary payments and bring all outstanding contributions up to date. We are hopeful this situation will not recur,” Makhuvha said at the time.
That promise was never kept.
The human cost is staggering. At least 945 employees have been affected by unpaid pension contributions totalling R6.78 million on paper — but pensioners say the true loss, with interest and growth over three decades, is closer to R300 million.
A further 247 workers had their medical aid contributions, totalling R3.21 million, unpaid, with all coverage suspended.
Marumo Sithole, 72, who retired in 2000 after decades of service, said he received only R60 000.
“I retired in 2000 after many years of service and got only R60 000. Today I’m struggling — I have to hustle just to feed my children,” said Sithole.
Deneo Naredi (24) from Mokopane said her father, a bus driver, died in 2012 and her attempts to claim his pension have come to nothing.
“I don’t know what to do anymore… I have tried everything. We have slept outside the premier’s office in protest countless times without any help. I haven’t been able to go to university because I have no money,” she said.
The rot runs deep. Since 1994, GNT has had nine different provident fund administrators, including Alexander Forbes, which administered the fund between 2010 and 2017, Moriting Wealth Managers and Lekana Employee Benefit Solutions.
In 2020, after Mihafo complained on behalf of workers in 2016, Limpopo Treasury appointed auditing firm BDO to probe the disappearance.
Its mandate was to investigate the decline of the fund, determine if there was misappropriation by management, staff and trustees, and establish who was responsible for the irregular winding-up of funds.
Administrators have denied wrongdoing and pointed the finger at GNT’s board and management.
Masindi further said the scandal was uncovered when workers questioned why their payouts did not match their years of service.
“On inspection of the statements, it became clear that although GNT had deducted monthly contributions from workers’ pay, not all the monies had been paid over to fund administrators. In cases where contributions were paid over, payments were made late. This had obviously impacted the growth of the provident fund,” he said.
Workers have gone to court, protested and petitioned the Limpopo Legislature.
The DA previously laid criminal charges against GNT’s board and management.
The SAHRC said they had referred the matter to their lawyers for review while Ledet had not responded to Africa Daily yet.
