SIPHO Pityana has caused a great deal of controversy in recent weeks. It is the first time that a prominent ANC loyalist has broken ranks with the party line and called for the president to resign, an outcome which Pityana says is his personal preference.
He has gone further. Wearing his business hat as chairman of AngloGold Ashanti, he has written to organised business to call on them to join the public debate about what should be done. This includes giving consideration to the continued presidency of Jacob Zuma, under whose guidance the country is accelerating towards a credit ratings downgrade.
Business has responded with the usual self-interest.
The Black Business Council was outraged by Pityana’s proposal for regime change and has publicly condemned him. Business Unity SA has remained silent. So has Business Leadership SA.
All are involved in the presidential initiative with CEOs, which is working to avert the downgrade. While business has been keeping up its side of the bargain, coming to the table with a R1.5bn small business fund, and doing its bit to talk up SA in international roadshows, government’s contribution to the initiative so far has been minimal.
In fact, as Pityana has pointed out, some of Zuma’s actions have been in direct contradiction to the pact agreed in February.
Government had committed to restore governance to state-owned enterprises and to instal management fit for purpose.
Instead, things have got worse. The composition of the new board at South African Airways is clearly a compromise, which could see more continuity than change. For the rest, there has been no improvement.
And the Cabinet decision to place Zuma at the apex of state-owned enterprises has raised fears that political interference will intensify.
This is the point that Pityana is making: while business likes to work quietly behind the scenes in well-meaning initiatives with government, the promises made by government are continually broken.
Well-meaning initiatives are good and well, but it is time for more to be done, and business leaders must stand up and speak out.
But Pityana’s is a lone voice. Established business has kept quiet; the Black Business Council has attacked him, with its members rushing to Zuma’s defence while insisting they are not cronies.
More has been done under Zuma’s administration for emerging black business than in any previous presidency. Black economic empowerment legislation has been amended to penalise those who don’t do equity deals with black South Africans, and to make the case for helping new black entrants into supply chains more compelling.
The black industrialist programme has boosted this further, as would amendments to government procurement legislation which Zuma has championed. These are important victories for black economic empowerment.
But Zuma has also inflicted untold damage on SA’s political health and on its economy, which is heading for a credit ratings downgrade with speed.
Social cohesion is fraying and social tensions are rising. Corruption has become endemic in government and the strength and integrity of vital institutions, such as the prosecuting authorities and the police, are under threat.
Most alarming of all is the dawning reality that without forceful prodding from the rest of society, the ANC is incapable of addressing the problem.
Pressure is required from all quarters if the slide is to be arrested or we will have to limp on until the 2019 election.
Pityana is brave and correct to tell business it is time to take a political stand.
Playing deaf, behaving politely or rushing to protect self-interest is foolish when the country’s collective future prosperity is at stake.
Sipho Pityana. Picture: ROBERT TSHABALALA
SIPHO Pityana has caused a great deal of controversy in recent weeks. It is the first time that a prominent ANC loyalist has broken ranks with the party line and called for the president to resign, an outcome which Pityana says is his personal preference.
He has gone further. Wearing his business hat as chairman of AngloGold Ashanti, he has written to organised business to call on them to join the public debate about what should be done. This includes giving consideration to the continued presidency of Jacob Zuma, under whose guidance the country is accelerating towards a credit ratings downgrade.
Business has responded with the usual self-interest.
The Black Business Council was outraged by Pityana’s proposal for regime change and has publicly condemned him. Business Unity SA has remained silent. So has Business Leadership SA.
All are involved in the presidential initiative with CEOs, which is working to avert the downgrade. While business has been keeping up its side of the bargain, coming to the table with a R1.5bn small business fund, and doing its bit to talk up SA in international roadshows, government’s contribution to the initiative so far has been minimal.
In fact, as Pityana has pointed out, some of Zuma’s actions have been in direct contradiction to the pact agreed in February.
Government had committed to restore governance to state-owned enterprises and to instal management fit for purpose.
Instead, things have got worse. The composition of the new board at South African Airways is clearly a compromise, which could see more continuity than change. For the rest, there has been no improvement.
And the Cabinet decision to place Zuma at the apex of state-owned enterprises has raised fears that political interference will intensify.
This is the point that Pityana is making: while business likes to work quietly behind the scenes in well-meaning initiatives with government, the promises made by government are continually broken.
Well-meaning initiatives are good and well, but it is time for more to be done, and business leaders must stand up and speak out.
But Pityana’s is a lone voice. Established business has kept quiet; the Black Business Council has attacked him, with its members rushing to Zuma’s defence while insisting they are not cronies.
More has been done under Zuma’s administration for emerging black business than in any previous presidency. Black economic empowerment legislation has been amended to penalise those who don’t do equity deals with black South Africans, and to make the case for helping new black entrants into supply chains more compelling.
The black industrialist programme has boosted this further, as would amendments to government procurement legislation which Zuma has championed. These are important victories for black economic empowerment.
But Zuma has also inflicted untold damage on SA’s political health and on its economy, which is heading for a credit ratings downgrade with speed.
Social cohesion is fraying and social tensions are rising. Corruption has become endemic in government and the strength and integrity of vital institutions, such as the prosecuting authorities and the police, are under threat.
Most alarming of all is the dawning reality that without forceful prodding from the rest of society, the ANC is incapable of addressing the problem.
Pressure is required from all quarters if the slide is to be arrested or we will have to limp on until the 2019 election.
Pityana is brave and correct to tell business it is time to take a political stand.
Playing deaf, behaving politely or rushing to protect self-interest is foolish when the country’s collective future prosperity is at stake.
