PRASA Board Evaluates Labour Court Decision on Matthews Contract Termination

PRASA challenged Nugent's ruling in the Labour Court, which reportedly upheld Matthews’s contract validity in its recent decision.

The Passenger Rail Agency of South Africa (PRASA) board is currently evaluating the recent judgment from the Labour Court regarding the termination of the contract of former Group Chief Executive Officer (GCEO), Zolani Kgosietsile Matthews.

PRASA terminated Matthews’s contract in December 2021 following an investigation by senior counsel, which concluded that Matthews had not disclosed his dual citizenship to PRASA. However, retired judge Robert Nugent subsequently ruled that Matthews should be reinstated with back pay during arbitration proceedings.

PRASA challenged Nugent's ruling in the Labour Court, which reportedly upheld Matthews’s contract validity in its recent decision.

In response, PRASA stated on Tuesday that they are carefully reviewing the judgment in consultation with their legal department. They emphasized their commitment to promoting good governance aligned with legal obligations and the company’s best interests. The PRASA Board Of Control (BOC) affirmed its dedication to advancing PRASA's mission of providing essential rail and bus services to the public, while maintaining high standards of fairness and integrity in governance.

Further actions from PRASA regarding this matter will be communicated in due course as the board continues to navigate this legal and operational challenge.