A R250000 “loan” agreement bet-ween the national Samwu office and its Eastern Cape leader, Milton Myolwa, has divided the union after Myolwa was granted the “loan” in the absence of any policy to allow it.
Myolwa, who maintains he is the provincial secretary despite the majority of provincial regions claiming he was recalled in March, was granted the funds in February after applying to the national office for the cash “loan”.
Myolwa, who is paid a monthly allowance of about R6500, said he needed assistance in purchasing a vehicle because his previous car was “old and troublesome”.
Disgruntled regional union leaders and members said the loan went against union policies, which only allowed employees to be granted a salary advance of not more than half an employee’s basic salary.
Using the “loan”, Myolwa bought himself two vehicles – a BMW X-5 and a VW Polo Vivo.
Initially, he denied to the Saturday Dispatch that he bought the X-5, saying he only bought the Polo Vivo.
“Yes I do get a travelling allowance, however I was declined by financial institutions.
“There is no policy that states that such loans should not be granted to employees.
“The employer has the discretion about whether or not they can grant the loans.
“There is an agreement I signed with the employer and I started paying back the loan from last month,” Myolwa said, adding that questions concerning the policy should be directed to his employer.
Union members told the Dispatch that they did not recognise him as their leader.
Vuyokazi Daniels, who was appointed as Myolwa’s deputy secretary last year, said in terms of Samwu policy, the only loan employees were entitled to was a salary advance.
“Even with the salary advancement one cannot get money more than their salary and Myolwa does not earn R250000 so he can’t pay it back,” Daniels said.
Union president Pule Molalenyane defended Myolwa saying the decision was made based on Myolwa’s application. He also said there was no policy that stopped the national office from granting loans to employees.
However, Saturday Dispatch was shown an e-mail dated February 12 from national Samwu finance officer Melicia Adams, in which she informs national treasurer Portia Lindi: “Can you please indicate instructing us at finance to pay this amount (R250000) as this is not part of the policy and procedure.” — mamelag@dispatch.co.za
Union in uproar over loan
Myolwa, who maintains he is the provincial secretary despite the majority of provincial regions claiming he was recalled in March, was granted the funds in February after applying to the national office for the cash “loan”.
Myolwa, who is paid a monthly allowance of about R6500, said he needed assistance in purchasing a vehicle because his previous car was “old and troublesome”.
Disgruntled regional union leaders and members said the loan went against union policies, which only allowed employees to be granted a salary advance of not more than half an employee’s basic salary.
Using the “loan”, Myolwa bought himself two vehicles – a BMW X-5 and a VW Polo Vivo.
Initially, he denied to the Saturday Dispatch that he bought the X-5, saying he only bought the Polo Vivo.
“Yes I do get a travelling allowance, however I was declined by financial institutions.
“There is no policy that states that such loans should not be granted to employees.
“The employer has the discretion about whether or not they can grant the loans.
“There is an agreement I signed with the employer and I started paying back the loan from last month,” Myolwa said, adding that questions concerning the policy should be directed to his employer.
Union members told the Dispatch that they did not recognise him as their leader.
Vuyokazi Daniels, who was appointed as Myolwa’s deputy secretary last year, said in terms of Samwu policy, the only loan employees were entitled to was a salary advance.
“Even with the salary advancement one cannot get money more than their salary and Myolwa does not earn R250000 so he can’t pay it back,” Daniels said.
Union president Pule Molalenyane defended Myolwa saying the decision was made based on Myolwa’s application. He also said there was no policy that stopped the national office from granting loans to employees.
However, Saturday Dispatch was shown an e-mail dated February 12 from national Samwu finance officer Melicia Adams, in which she informs national treasurer Portia Lindi: “Can you please indicate instructing us at finance to pay this amount (R250000) as this is not part of the policy and procedure.” — mamelag@dispatch.co.za
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