PRETORIA, Gauteng – The Public Servants Association (PSA) of South Africa is mounting a legal defense against a deregistration notice issued by the Department of Employment and Labour. The dispute, which centers on alleged failures in financial reporting, record-keeping, and transparency, has prompted the union to challenge the government’s directive, arguing that the process is procedurally flawed and ignores existing court rulings.
The Department of Employment and Labour recently placed the PSA on notice for deregistration. According to the commission, the union may be unable to operate effectively under its current constitution and has allegedly failed to comply with sections 98, 99, and 100 of the Labour Relations Act. These sections mandate strict financial reporting, record-keeping, and transparency obligations for registered trade unions.
Reuben Maleka, General Manager of the PSA, has strongly pushed back against the allegations. Speaking on the matter, Maleka categorically denied that the union has failed to submit its financial statements or membership fees on time. He stated that the PSA has a history of clean audits with no findings against its statements and “religiously” submits its annual financials, which are consistently acknowledged by the Registrar.
Addressing the specific financial submissions, Maleka confirmed that the PSA submitted its unaudited annual financial statements by March 31, 2025, in line with international standards. He noted that audited statements are submitted by September 31 each year.
Maleka did concede one technical discrepancy: the union’s financial statements are currently audited in terms of the Companies Act rather than the specific statutory requirements for trade unions. However, he emphasized that this is precisely what the union is attempting to correct through a constitutional amendment.
The conflict is deeply intertwined with an ongoing legal battle. Maleka highlighted a Labour Appeal Court judgment delivered on April 17, where three judges affirmed that the PSA is a registered trade union—a status it has held since 1993. The court ruled that the union’s constitution must be amended to conform to section 95 of the Act.
Following this judgment, the PSA submitted its amended constitution on May 15. However, on June 22, the Registrar sent a letter rejecting the amendment. The very next day, the Registrar reportedly shifted the reasoning, citing concerns over a board of directors controlling the union under the Companies Act, before swiftly issuing a notice of intention to cancel the registration under section 106.
Maleka argues that the Registrar bypassed critical legal timelines. He pointed out that section 106 requires a 30-day window for the union to seek reasons for a refusal, while section 106(2A) mandates a 60-day period to correct deficiencies before a cancellation can be published in the Government Gazette. Maleka questioned the urgency of the process, stating the union was not given the statutory opportunity to explain itself or correct the issues.
Adding to the union’s grievances, Maleka pointed out a perceived conflict in the Registrar’s actions. While the Registrar is arguing that the PSA is not a valid trade union, he is simultaneously petitioning the Labour Appeal Court to place the PSA under administration for 12 months. Maleka questioned how the Registrar can claim the entity is not a union while simultaneously seeking to take control of it.
In response to the deregistration threat, the PSA is taking decisive legal action. Maleka confirmed that the union has officially appealed the Registrar’s refusal to amend the constitution. Furthermore, the PSA is exploring additional legal avenues, including approaching the courts to interdict the deregistration process.
“There is no way that public servants cannot have a voice and be stopped by a registrar who is deliberately ignoring the act and deliberately ignoring a labour appeal court judgment,” Maleka stated, affirming the union’s commitment to utilizing every available legal channel to protect its members’ representation.
