PRESS RELEASE

4-10-2000 : CABINET TO HAVE FINAL APPOINTMENT POWERS WITH RESPECT TO TOP MANAGEMENT POSITIONS AT SABC


  

The Freedom of Expression Institute is extremely disturbed by media reports stating that Cabinet is to have final appointment powers in relation to the three key management positions at the South African Broadcasting Corporation (the Chief Executive Officer, the Chief Financing Officer, and the Chief Operating Officer). According to the Broadcasting Act, these management members will also be executive members of the Board. The Act states that the non-executive Board members are to be appointed by the President on the advice of the National Assembly. However, with respect to the appointment of the executive members, it is noted in s.14(1) of the Act that the Board must make these appointments, given that it states that `...the affairs of the Corporation should be administered by an executive committee consisting of the Group Chief Executive Officer and six other members appointed by the Board'. Although there is no procedure laid down for how the Board would handle the appointment of one of its own members (albeit an executive member), there are numerous fair procedural practices the Corporation could draw on to ensure the integrity of the appointment process.

It should be noted that s. 6(2) states that the SABC will in pursuit of all its objectives and in exercise of its powers, enjoy freedom of expression and journalistic, creative and programming independence. These rights simply cannot be protected if Cabinet is allowed to appoint people to such key positions, as it could lead to interference in the affairs of the Corporation and compromise the integrity of the Board.

We understand that the Board has cited the 1997 Protocol on Corporate Governance as reason why these appointments need to be made by Cabinet. However, the policy document entitled "An Accelerated Agenda Towards the Restructuring of State Owned Enterprises", released by the Ministry of Public Enterprises, notes that there is some confusion over the roles and responsibilities of Boards. It noted that the Protocol is silent of the role of the Board in making senior management appointments, and that in the absence of clarity `..these functions are best performed by the shareholder'. It is simply beyond understanding why a decision has been taken that these appointments need to be made by Cabinet, on the basis of a document that is not even clear on these matters. In any event, the Protocol has the status of a policy document; as a result, it would be subordinate to the provisions of the Broadcasting Act. If the Broadcasting Act requires the SABC to enjoy independence, then this requirement must take precedence.

Another aspect which the Board does not seem to have considered is that the Protocol was developed with respect to a broad spread of parastatals. These parastatals provide a range of services including electricity, post, telephones and other services. One simply cannot equate the provision of electricity or postal services with the provision of broadcasting content, as the latter raises crucial questions about editorial independence that are simply not at issue in relation to other parastatals.

It is also disturbing to note that the Board is attempting to implement a corporate governance protocol in an organisation that has not even been corporatised yet. This attempt to jump the restructuring gun simply defies logic. We therefore call on the Board and the government to respect a far more important and appropriate protocol with respect to public broadcasters, namely the protocol of protecting their independence and integrity.

Contact: Jane Duncan (Tel: 403-8403) Laura Pollecutt (083-604 1073)