IMPENDLE, KwaZulu-Natal — The Impendle Local Municipality is facing a severe financial crisis after the National Treasury withheld a portion of its July equitable share funding. The rural KwaZulu-Natal municipality is among 69 municipalities nationwide affected by the Treasury’s decision, which cites repeated failures to meet critical financial management requirements.
The financial turmoil in Impendle, a town with an estimated population of 40,000 and one of the smallest municipalities in the province, has been escalating for months. Consequently, the KZN Department of Cooperative Governance and Traditional Affairs (CoGTA) placed the municipality under Section 139B administration on May 26. Provincial authorities noted that the local council failed to establish proper governance structures and neglected to enforce consequence management against officials involved in fraud and corruption.
The withholding of the July funds has deeply exacerbated the livelihoods of both residents and municipal employees. Mr. Zuma, a spokesperson representing the municipal workers, highlighted the dire circumstances on the ground. According to Mr. Zuma, approximately 150 to 200 employees—including permanent staff, administrative personnel, and Expanded Public Works Programme (EPWP) workers—have gone without salaries for nearly four months.
“You can imagine how someone can live without a salary when there are so many needs that must be taken care of,” Mr. Zuma explained, noting that the Treasury’s decision to block the first tranche of the equitable share at the beginning of July worsened an already desperate situation.
Workers had been in consultation with municipal management, hoping the provincial intervention would stabilize the municipality’s finances. Mr. Zuma noted that a select committee from the national parliament is scheduled to visit Impendle this week to assess the Section 139B intervention.
While there is hope that the visit will yield a positive outcome and fast-track negotiations to save the employees’ livelihoods and restore service delivery, the workers have issued a stark ultimatum. Mr. Zuma stated that if the senior authorities fail to resolve the crisis, the municipal employees will have no other option but to embark on strike action.
