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NEWS ANALYSIS
This week, the National Student Financial Aid Scheme (NSFAS) and the National Union of Education, Health and Allied Workers (Nehawu) signed a salary agreement. Members of the plan’s union had been on strike for two weeks over the pay increase, which has now ended.
But this is simply the first hurdle between the two parties. Another involves NSFAS administrator Randall Carolissen.
Part of the union’s demands during their strike was that Carolissen be fired.
Carolissen was seconded from the South African Revenue Service (Sars) in August 2018 by then-Higher Education Minister Naledi Pandor.
The plan was in disarray at the time.
In the NSFAS 2018/2019 annual report, Carolissen said in August 2018 when she took office, NSFAS “was in a chronic state of mismanagement with extremely poor achievements relative to the legislated mandate and key performance indicators”.
The plan was failing in its only mandate to fund students. At the time, the students had gone eight months without receiving their assignments, sparking protests across the country.
By the end of fiscal year 2018, according to the annual report, more than 600,000 students had received their funding.
NSFAS is responsible for a budget of approximately R40 billion annually and funds no fewer than 700,000 poor and working-class students. NSFAS is a critical institution, but it has not functioned efficiently. The funds have been disbursed through trial and error, often leaving students frustrated; CEOs have come and gone; and the people who were brought in to help and change things left, leaving a mess in their wake.
The appointment of the administrator, then, was intended to provide stability and ensure that the regime fulfilled its sole mandate. In fact, when Carolissen was announced as administrator, Nehawu was one of the organizations that welcomed her appointment.
But two years later, Nehawu wants to see Carollissen’s back.
Last week in Parliament, NSFAS and Nehawu appeared before the higher education portfolio committee, where the union brought “serious allegations” of corruption and mismanagement against Carolissen and her administration.
Nehawu alleges that he has laid off qualified people and replaced them with less qualified friends and associates; that the government has collapsed; that there are weak internal controls under his command: that employees are victimized; and the union has pointed to the lack of a verification system for student funding, applications, and disbursement of funds.
Nehawu Western Cape Provincial General Secretary Eric Kweleta said the union expected Carolissen to bring change to NSFAS “but the opposite has happened.” He said things were better under the previous board, which was chaired by Sizwe Nxasana.
The union claimed that the constant irregular appointments had created “a culture of fear and discrimination in the organization.” The union claimed that some appointments were made through text messages, that candidates were interviewed in restaurants, and that advisers had created permanent positions for them.
A member of the portfolio committee, Nompendulo Mkhatshwa, called the allegations “very worrying.”
“The accusations made sounded like those that had been made before the arrival of the administrator. Beyond the much-needed funding, there was a need for people who had the appetite to effect change in this organization. Perhaps they needed to change the name of NSFAS because, regardless of who ran it, challenges were still prevalent. A new generation of people was needed who were willing to push the organization forward, ”said Mkhatshwa.
Carolissen has denied the allegations and has maintained that her actions have been correct. It has also filed a civil lawsuit against some members of Nehawu “based on the baseless and vexatious accusations.” The case will be heard in Cape Town High Court on December 3.
Carolissen told Parliament that she had worked extensively in the education sector and that during her executive career she had appointed people she knew from previous relationships or even former students, but that all required procedures were followed and the same applied to the staff she recruited. at NSFAS.
“My relationships are professional and the successes of the organization during the tenure is evidence that the right people were chosen to do the jobs for which they were appointed,” he said.
He said people who were hired in strategic positions had gone through an extensive NSFAS recruitment process, which included background checks and some also had to take aptitude tests and the panel would make recommendations to the line manager.
He said he rarely participated in those processes, unless staff members reported directly to him.
NSFAS said a forensic investigation it had instituted had uncovered acts of syndicated fraud by senior managers. This had led to various disciplinary charges and criminal investigations. At this point, allegations against Cornelissen began to surface.
“This distracts and challenges the reputation of professionals who work hard to restore the integrity and delivery of NSFAS as anticipated in their tenure,” said NSFAS.
Some members of the portfolio committee suggested that a forensic investigation into the allegations may be necessary.
Meanwhile, Higher Education Minister Blade Nzimande has praised the work the administration has done.
In a statement in June where Nzimande was responding to allegations that he was meddling in NSFAS affairs, he said he was “pleased with the progress reported by the administrator in dealing with serious looting and curbing acts of corruption and mischief. administration in the NSFAS, putting the NSFAS on the right track to grant scholarships to the children of the poor and working families in our country.
The allegations against Nzimande were that a former chief of staff and personal assistant in his office had been parachuted into NSFAS and now occupies an executive position.
Nzimande said it had nothing to do with who was appointed to NSFAS.
The plan is in the process of appointing an executive director and a board. While this process is underway, Nzimande has expanded Carolissen’s mandate.
The parliamentary briefing concluded that NSFAS is an important institution for thousands of South African students and cannot be allowed to fail.
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