Unveiling the Scopa report: Governance crises and staff issues at the RAF

A draft parliamentary report has exposed governance issues and staff problems at the Road Accident Fund (RAF). The Standing Committee on Public Accounts (Scopa) findings detail extensive employee suspensions, improper recruitment, and leadership misconduct. During a five-year period, 188 RAF employees were suspended and specialists were appointed to top positions without proper organizational structure.

One CEO, Collins Letsoalo, was involved in critical decision-making, including an accounting policy change that significantly understated the Claims Liability by over R300 billion. The report highlights that suspensions often exceeded six months and that Letsoalo failed to provide required security clearance documents. Legal costs related to labor disputes have surged, reaching R22.21 million in 2022, as the RAF continues to challenge dismissed employees' reinstatement claims.