The Minister of Employment and Labour, Ms Nomakhosazana Meth, has welcomed the Supreme Court of Appeal judgment against Thuja Holdings in the R5 billion Thuja jobs scheme matter. The Supreme Court of Appeal dismissed with cost on 15 August 2024, an application by Mr. Mthunzi Mdwaba, Thuja Holdings and others, to appeal against judgements and orders handed down earlier this year by the Pretoria High Court.

In dismissing the application, the Supreme Court of Appeal found that there is no reasonable prospect of success in the appeal; furthermore, there is no other compelling reason why an appeal should be heard.

On 19 April 2024, the Pretoria High Court set aside the R5 billion Thuja jobs scheme agreement and declared it invalid after it found that the agreement entered into between the Department of Employment and Labour and Thuja Holdings (Pty) Ltd did not comply with the relevant provisions of the Public Finance Management Act. Mr. Mdwaba was ordered to pay the Minister's costs of the application including the cost for two legal counsel employed.

Mr. Mdwaba, subsequent to the judgement of 19 April 2024, applied for leave to appeal the Pretoria High Court judgements and orders, but after hearing the appeal, the court dismissed the matter with costs, on 28 May 2024.

Minister Meth is pleased that the Court has finally pronounced on the validity and lawfulness of the agreement which has brought the matter to its conclusion.

“I am pleased that the SCA has finally brought this protracted Thuja jobs scheme matter to closure. This judgement is significant to us as the department and the workers whose UIF money was preserved through the aversion of this irregular transaction. It goes to show that as government, we do not take light the responsibility placed upon us to safeguard the monies reserved for workers. Indeed, certainty and clarity about the oversight responsibility bestowed on political office-bearers deployed in government was elevated through this matter." says Ms. Meth.

The work of the Unemployment Insurance Fund can continue in earnest, as the department maps the way forward to create much needed employment opportunities for unemployed jobseekers.

Ends.

Media enquiries:

Ms. Thobeka Magcai, Spokesperson to Minister of Employment and Labour, Cellphone: 072 737 2205, Thobeka.Magcai@labour.gov.za,

Issued by:

MINISTRY OF EMPLOYMENT AND LABOUR

DATE: 27 AUGUST 2024

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