Creecy to answer on 600 Prasa workers

The Passenger Rail Agency of South Africa (Prasa) is moving toward a potential resolution regarding the fate of more than 600 employees. A task team composed of Prasa management and labour representatives met on Friday to finalize a report for Transport Minister Barbara Creecy, who is expected to receive the document on Tuesday.

Atenkosi Plaatjie, the spokesperson for the United National Transport Union (Untu), the largest union at Prasa, said the team would not disclose the contents of the report at this stage. Plaatjie told the outlet the task team is “at the finalisation stage” and that the document would be handed to the minister next week.

Transport department spokesperson Collen Msibi confirmed the existence of the task team led by the department. Msibi stated the group is currently in the middle of its task, as defined by its terms of reference, and that a public announcement will only be made once the work is completed.

Untu and the South African Transport and Allied Workers Union (Satawu) reacted with anger when Prasa announced plans to retrench more than 600 workers. The rail operator cited “severe financial and operational constraints” in its long-distance passenger rail operations. According to a document sent to employees viewed by journalists on the scene, certain rail corridors had remained inactive for extended periods, leaving employees unable to perform productive work while continuing to receive full remuneration.

Prasa stated that after exhausting all reasonable alternatives, retrenchment was adopted as a last resort. The source notes that the Shosholoza Meyl service has not been operating at full capacity as a result of these constraints. Prasa spokesperson Andiswa Makanda has been approached for comment, but no update has been received as of publication.

Untu provisionally withdrew its application to halt the retrenchment process from the labour court roll to give the task team a chance. The unions had previously rejected moves by Prasa to have the affected employees sign documents issued regarding the retrenchment process.

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Prasa was allocated R5.8 billion in February as part of the government’s efforts to modernise the rail operator’s fleet and improve commuter rail services. Finance minister Enoch Godongwana said the special appropriation included R1.8 billion earmarked for Prasa to help the agency meet its contractual obligations under its agreement with Gibela.

The Gibela agreement requires the procurement of a minimum of 35 locomotives annually. The programme is intended to boost annual passenger trips from the current 77 million to 250 million and eventually 450 million over the medium term. Labour met Prasa group CEO Hishaam Emeran recently to find a solution to the looming job cuts, though Makanda did not immediately respond to a request for comment.

Prasa has a track network of more than 2,000km and has historically been plagued by ageing infrastructure, vandalism, unreliability, and safety concerns. The entity launched its general overhaul programme in 2022 at a cost of R7.5 billion. By the end of March 2025, R3.48 billion had been spent on refurbishing and extending the service life of Prasa’s legacy rolling stock fleet.

For the thousands of workers facing uncertainty, the outcome of Tuesday’s meeting could determine their immediate livelihoods. If the report recommends a path forward that avoids mass layoffs, it would relieve significant pressure on a workforce already struggling with the instability of the rail system they serve. However, if the financial constraints cited by management prove too great to ignore, the agency may be forced to proceed with the restructuring plans it has been preparing for months.

Significant investment is required to overhaul the rail infrastructure. The government has prioritised funding to address these issues. This focus on modernisation is similar to broader efforts to protect agricultural industries from environmental threats. Wildfires threaten Bordeaux wine region.