Industry

TransNamib denies having knowledge of Ernst & Young report

Summary

TransNamib Board Chairperson Lionel Mathews has denied having any knowledge of a report produced by auditing firm Ernst & Young (EY), which recommended disciplinary action against non-performing workers.This follows media reports in which Nampa in …

TransNamib Board Chairperson Lionel Mathews has denied having any knowledge of a report produced by auditing firm Ernst & Young (EY), which recommended disciplinary action against non-performing workers.

This follows media reports in which Nampa in June of 2022 reported that EY had recommended that either the Ministry of Public Entreprises (MPE) or the TransNamib board consider instituting disciplinary action against employees and executives who failed to meet their performance indicators.

Mathews during a press conference in Windhoek on Tuesday said he was not aware of such a report and its recommendations by the auditing firm as it had not been availed to them.

“It is unfortunate that the report was leaked to the media. As TransNamib, we are not privy to the report and we cannot take any appropriate action, if any, until the report is finalised and delivered to the MPE. I hope that this matter will be closed soon so that we all can focus on the real job at hand,” Mathews said.

In 2021, it was also reported that there was over-compensation of non-performing executives, while the institution was underperforming and making losses of up to N.dollars 10 million monthly.

Executives were believed to be earning more than N.dollars 100 000 and various allowances totalling more than N.dollars 20 000 monthly.

On top of that, the executives were also paid substantial performance bonuses in the absence of a performance management system.

When quizzed about the above, Mathews and the rail company’s Chief Executive Officer, Johny Smith said they would rather work with facts than rumours.

Mathews said at the moment they cannot institute any disciplinary action against the workers and executives, or even ask them to pay back the performance bonuses because they are not in possession of the report.

He added that if the report is made available to the board and management, they will follow the recommendations as advised.

Source: The Namibian Press Agency