Business Report

UNTU challenges PRASA's job cuts and security reductions

Manyane Manyane|Published
United National Transport Union (Untu) says it will oppose deployment of private security firms as the Passenger Rail Agency of South Africa (Prasa) intends to retrench more than 600 workers.

United National Transport Union (Untu) says it will oppose deployment of private security firms as the Passenger Rail Agency of South Africa (Prasa) intends to retrench more than 600 workers.

Image: File

United National Transport Union (Untu) has declared that it will reject deployment of private security companies while the Passenger Rail Agency of South Africa (Prasa) have capable and trained security officers to safeguard the country’s rail infrastructure. 

This comes against the backdrop of Prasa intentions to cut over 600 jobs in its long-distance passenger services division.

The state-owned enterprise initiated retrenchment processes under Section 189 of the Labour Relations Act in May 2026. 

The agency cited severe financial constraints and the extended inactivity of certain rail corridors as reasons for the cuts, stating it can no longer continue to pay employees who are unable to perform productive work. 

This is despite Finance Minister Enoch Godongwana allocating R5,8 billion for modernising the commuter fleet, capital programs, and restoring regional infrastructure.

In the 2022/23 financial year, Prasa received R19,5 bn in total government subsidies (R7,2 bn for operations and R12,3 bn for capital expenditure). The agency's income streams were bolstered by R1,7 bn in interest received, R620m in lease rentals, R181m in miscellaneous income, and R119m from passenger fares. 

Protection services personnel are among the 600 employees whose jobs are at risk. 

Untu’s Atenkosi Plaatjie said the union has made it clear that reducing security personnel at the time when Prasa continues to face widespread vandalism, cable theft and attacks on critical rail infrastructure is both illogical and counterproductive. 

“Our position remains that Prasa's proposal contradicts its own corporate plan, which identifies the need to strengthen protection services rather than reduce them. We will not support any scenario in which experienced Prasa security personnel are retrenched while there is a need for added security as Prasa recovers its line,” Plaatjie said. 

“We definitely will not stand by and allow private security companies to come in while Prasa has capable, experienced and trained security officers to protect the country's rail infrastructure,” she added.

Prasa spokesperson Andiswa Makanda said consultation with various stakeholders are under way and there are no retrenchments being implemented. 

Prasa cancelled contracts with 20 private security companies following historical findings of tender irregularities and massive asset losses. 

To replace outsourced providers, the entity established its own security framework, hiring thousands of internal security guards directly under its corporate command. 

The agency has rolled out a R1,5 bn security overhaul to deploy over 1,400 internal personnel across high-tech forward bases to secure railway lines within a 35km radius.

Untu temporarily approached the Labour Court to interdict the process, citing a lack of transparency and flawed facilitation by the Commission for Conciliation, Mediation and Arbitration (CCMA).

The union withdrew its urgent court bid after Prasa extended the retrenchment process timeline to allow continued engagements with organised labour. A task team was established to urgently find viable alternatives to cutting jobs. 

Plaatjie said the union was involved in Prasa’s people optimisation process, which sought to identify opportunities to place main line passenger services (MLPS) employees within other areas of the rail business as an alternative to retrenchment. 

She said while this process was underway, the union received notification from Prasa that it intended to commence a facilitated Section 189 consultation through CCMA.

She said after participating in the consultations before two CCMA commissioners, the union found the process to be fundamentally flawed due to lack of sufficient information required to explore alternatives for retrenchments. 

“Without adequate disclosure, organised labour was unable to properly engage on measures that could avert what we have described as a potential jobs bloodbath. As a result, Untu approached the Labour Court on an urgent basis to interdict the process,” said Plaatjie.

She said the matter has since been held in abeyance following the interventions of the Department of Transport, which established a task team comprising the department, Prasa management and organised labour to explore alternatives aimed at minimising job losses.

Plaatjie said the work of the task team is still ongoing and no final findings have been reached at this stage.

“As the process has not yet been concluded, no formal report has been submitted to the minister of Transport. All parties remain committed to engaging constructively until the task team has completed its mandate,” she said. 

The South African Transport and Allied Workers Union (Satawu), which is also involved in opposing a proposed Section 189 retrenchment process, said it won’t be commenting on this matter until further notice.  

Prasa operates a sprawling 2,000 km railway network that has long been hampered by safety concerns, corruption, and ageing equipment. To restore reliability for millions of urban commuters, the agency launched a massive R7,5 bn general overhaul programme in 2022 aimed at refurbishing its legacy trains. By March 2025, R3,48 bn of the budget had been invested to keep these vital Metrorail and mainline passenger coaches running. 

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