Independent Producers Organisation on SABC retrenchment plan: 'It's disturbing that the ANC ruling party and unions are up in arms against the SABC board over a few hundred SABC jobs but haven't taken issue with thousands in the production sector who have lost jobs'.

by Thinus Ferreira

South Africa's Independent Producers Organisation (IPO) says that it rejects calls from trade unions for the dissolution of the SABC board and says that it finds it disturbing that the ANC ruling party and trade unions are now up in arms over job-losses at the public broadcaster but did nothing over the thousands of workers who had lost their jobs in the country's struggling TV and film industry already.

Tensions and public protest action have ramped up last week after the financially struggling South African public broadcaster issued retrenchment letters with SABC top management that wants to get rid of 400 workers at the bloated broadcaster.

The SABC board will again meet with the Communication Workers Union (CWU) this week, while the Bemawu trade union is bringing an interdict application at the Labour Court to halt the retrenchment process.

Politicians and political parties like the ANC and EFF have joined the public protest action of SABC workers, with the ANC and EFF also calling for an end to the SABC's retrenchment process.

Meanwhile, South Africa's battered film and TV industry had already shed thousands of jobs within the industry with many production companies that were forced to shutter as a confluence of the SABC drastically decreasing its local content spend, late and non-payment from the SABC for content that have been delivered because of cash-flow problems, and the Covid-19 pandemic.

The SABC board have said in 2019 and again this year that if the ANC-led government doesn't want job cuts it will need to commit to give the SABC an additional R1 billion per year. The SABC that just made a net loss of R511 is on track to make another loss of at least R1.2 billion next year.

The SABC roughly requires R270 million per month just to pay salaries with the wage bill that is by far the biggest single expense at the crumbling broadcaster. 

In the 2019/2020 financial year the SABC paid out an average salary of R791 000 per worker - roughly R66 000 per worker per month. This "average" is however skewed because of the multi-million rand remuneration packages of the SABC's top execs, directors and senior management who collective earned over R41 million in the financial year.

"While no-one supports retrenchments, particularly in these punishing economic times, the harsh reality is that without undergoing this process and trimming its bloated wage bill, the SABC will face financial ruin, putting thousands more jobs at risk in the organisation and its suppliers," says Quinton Fredericks, co-chairman of the Independent Producers Organisation, the industry umbrella organisation that represents South Africa's independent producers.

"The SABC board is the first to make any progress in managing the organisation’s cost to income ratio; reducing wasteful and fruitless expenditure, selling off non-essential assets and rooting out corruption," says the IPO.

"Importantly, it is also the first to act on the very direct instruction from Treasury when it received the bailout to reduce its unacceptably large headcount."

"The SABC spends 41 cents of every rand on salaries, whereas its spend on content – which is its core business – is only 22 cents, with local content only receiving 15 cents of that. As the public broadcaster, it is mandated to prioritise local content. By comparison, M-Net spends 15% on staff and 43% on local content. Further, as a percentage of revenue, eMedia  (e.tv) and the BBC spend 11% and 29% respectively on salaries."

"The SABC's wage bill has grown beyond all reason as a result of irregular and unjustified appointments, unwarranted bonuses and consistently above-inflation increases," says Quinton Fredericks.

"Conversely, it has slashed its spend on local content effectively cutting its rates to the production sector and the thousands of freelancers that work in it by an effective and staggering 50% over the last 12 years.

"It is disturbing that South Africa's parliament, the ANC ruling party and unions are up in arms against the SABC board over a few hundred SABC jobs, yet none of them have taken issue at all with the thousands of workers in the production sector who have lost their jobs, and the many small business production companies which have been forced to close down due to the SABC having reduced its spend on local content and, in the not so distant past, simply not paid producers for work that had been delivered to the broadcaster."

"The current SABC board's turnaround strategy is the first glimmer of hope for a sustainable future for the SABC. The measures in that strategy, including the retrenchments, are inevitable if the organisation is to survive, no matter who sits on its board," says Quinton Fredericks.

"Dissolving the SABC board, as the CWU demands, will cost the organisation and the country dearly."

"Replacing this SABC board with amenable disciples will not only lead to its rapid ruin, it also places the editorial independence of the public broadcaster and, in turn, our democracy under severe threat as we saw under the Hlaudi Motsoeneng era".

"An independent, objective broadcaster is a key pillar of a functioning democracy. We cannot allow this to be undermined by unrealistic populist rhetoric ostensibly aimed at saving a few hundred jobs at the cost of thousands of jobs across the production sector, and of a public broadcaster that is able to deliver effectively on the core requirements of its public service mandate," says Quinton Fredericks.

"The Independent Producers Organsiation recognises that the workers who may be retrenched at the SABC have extensive skills sets in the broadcasting, commissioning and production sector."

"These skills should be harnessed in building the capacity of small and medium black-owned production houses through agencies such as the MICTSeta and the National Skills Fund to reposition and build the capacity of the independent production sector in South Africa. This with a specific focus on developing our local indigenous film and television sector."

Coronavirus: Stop filming and shut down TV shows right now urges South Africa's Independent Producers Organisation (IPO).

by Thinus Ferreira

Shut down the TV industry. Shut down your TV show now. South Africa's Independent Producers' Organsation (IPO) is calling on production companies and their TV shows and films to protect their crews and casts and to urgently switch off the studio lights as the Covid-19 coronavirus rapidly spreads in the country.

Paralysed by a sense of fear over how to properly address the spread of the virus but also of running out of content, the South African TV industry - largely dominated by broadcasters and pay-TV services like the SABC, e.tv, MultiChoice and M-Net - have been slow to react to order the total temporary shutdown of their flurry of locally-produced shows and weekday soaps.

Besides handing out hand sanitser, limiting visitors, turning shows into closed sets and disinfecting studio lots, little has changed while the cameras continue to roll on sets at South Africa's major film studio complexes in Cape Town, Johannesburg and Durban where the country's large daily serialised drama series are filmed with crews and casts over 100 people and on-screen talent appearing in scenes interacting closely with each other.

After president Cyril Ramaphosa declared a national state of disaster in South Africa on Sunday evening over the Covid-19 coronavirus, filming continues on Uzalo, Generations, Skeem Saam, Muvhango, Lithapo, 7de Laan, Scandal!, Rhythm City, Imbewu, Suidooster, Getroud met Rugby, Binnelanders, The Queen, eHostela, The River, Isibaya and a range of other local drama series, comedies, morning shows and talk shows seen on public broadcasting, pay-TV and video streaming services, collectively employing thousands of people.

Meanwhile the management of Ster-Kinekor and Nu Metro have decided to keep their movie theatres across South Africa open while countries like the United States, United Kingdom and multiple other countries have shuttered theirs in light of the expanding global pandemic.

Following an emergency meeting on Tuesday of its executive committee, South Africa's Independent Producers Organisation (IPO), the national industry body representing hundreds of independent South African film, television and video producers, is imploring TV shows and films to shut down and asking member producers to "suspend their ongoing production or delay any imminent production".

"Action is required TODAY to reduce the exponential risk in virus spread," the IPO urges in a strongly-worded statement.

"Many of our members are battling to formulate the right action with regards to projects already in production or about to start production."

"We are all mindful of the fact that we are potentially putting a large amount of people at risk by continuing to shoot, and that we might participate in the exacerbation of this national and worldwide health disaster by not containing the spread of the virus," says the IPO.

"At the same time, we, as producers, are responsible for the jobs of thousands of our freelance cast and crew, and are also very mindful of the economic implications of suspending or cancelling a shoot."

"In addition, in the vast majority of cases, legal liability would ordinarily rest with the producer. We are therefore the ones bearing the brunt of the risks – financial and otherwise, if we continue with a film or TV shoot in order to honour our commitments to broadcasters and clients despite the current pandemic, or if we suspend it to protect the lives of our people and find ourselves in breach of our contractual obligations. We are therefore caught between a rock and a very hard place."

The IPO says that it has engaged with South Africa's broadcasters to obtain guidance from them since most local productions are commissioned programmes where broadcasters have the final word on what they do. "So far they have not come back with a clear policy," says the IPO.

"Heeding president Cyril Ramaphosa's call to do everything in our power to stop this pandemic and save lives, acknowledging what the rest of the world is doing and the ensuing suspensions of all foreign productions in the country, the IPO's executive committee has decided to recommend that all our members suspend their ongoing production or delay any imminent production, and inform and consult with their lawyers, their channel chief executives and business affairs as to the best way of implementing their decision."

The IPO is also writing an urgent memorandum to all the broadcasters, as well as the department of health and the presidency to outline the specific challenges faced by the localTV and film industry to ask for an urgent all industry response.


Broadcasters scared of running out of content
The IPO says "all broadcasters have the same anxiety. This is that they won’t have enough material or new material to show and this would cause them a drop in ratings and consequent financial harm".

"But we believe the industry needs help to do the right thing, to protect the cast and crew’s health, their loved ones and minimise the impact on their financial well-being."

"We will recommend that broadcasters must take responsibility for cushioning some of the economic impact by providing support on halted productions to cast and crew during this unprecedented crisis."

"We are immediately calling for urgent meetings with all stakeholders, including the SABC, e.tv, MultiChoice, other broadcasters and platforms, as well as the National Film and Video Foundation (NFVF), the department of trade and industry, the Industrial Development Corporation (IDS) and department of arts and culture, to coordinate our actions, with the aims of limiting the immediate impact of this crisis, and allowing our industry to come back stronger when this national crisis is over," says the IPO.

"We are also taking steps to secure the pro bono services of labour and entertainment lawyers to assist our members as they have to face these huge and never-seen-before challenges," says the IPO.

SABC advertises for positions of CEO, COO, head of SABC radio and audit boss - in print - a year after saying it won't place ads in print media anymore.

The beleaguered South African public broadcaster is advertising for a new chief executive officer and a new chief operating officer - and in print - a year after announcing its ditching external media for job ads.

On Sunday the SABC paid for placed advertisements in English South African newspapers like The Sunday Times and City Press exactly a year after SABC spokesperson Kaizer Kganyago in April 2016 said that the embattled broadcaster has "decided that it will advertise its employment vacancies and tender advertisements on the SABC's television, radio and digital platforms only".

At the time the SABC said "this decision will be implemented with immediate effect; the public broadcaster will no longer place advertisements in any print and other media platforms".

On Sunday the SABC said its looking for a new permanent CEO, COO, chief audit executive and a head of SABC radio - positions that had been vacant for months at the broke broadcaster that's lurching from crisis to crisis and asked Treasury last week for another mega bailout.

The closing date for applications for these positions are 26 May 2017 and enquiries about the positions can be made to Mosima Selekisho at mosimas@talent-africa.co.za and telephone 011 771 4800.

Notably the position of SABC COO - formerly occupied by the famously matricless and controversial Hlaudi Motsoeneng currently suspended and facing a new disciplinary hearing this week - requires candidates now to have "a relevant post-graduate qualification", 10 years experience in the broadcasting industry of which 5 years must be at executive level in the media industry.

The SABC last advertised for a CEO seven months ago in October 2016 but no appointment was made after the broadcaster fired Frans Matlala who was allegedly axed because he helped National Treasury with an investigation into Hlaudi Motsoeneng's procurement of a multi-million rand studio that was constructed without having been put out to tender.

The new SABC CEO - the troubled public broadcaster has gone through 11 since 2009 with James Aguma as the latest acting CEO - faces one the biggest challenges in the corporation's history with the SABC again on the brink of financial collapse as it was seven years ago when it got a R1.47 billion government bailout.

The SABC only has R110 million the bank, recorded a massive loss of R509 million in the fourth quarter of 2016 and its losses in the three quarters of 2016/2017 now stands at over R1 billion - its biggest loss in a financial year.

For months, since February, the SABC has been unable to pay content producers and struggling South African production companies what they're due, with the new minister of communications, Ayanda Dlodlo who will be meeting with the Independent Producers' Organisation (IPO) this week.

SABC 'putting thousands of livelihoods at risk' with failure to pay its biggest shows, as public broadcaster again hovers on the brink of financial collapse.

The SABC racing to the brink of financial collapse is putting "thousands of livelihoods at risk" as some of the SABC's biggest shows like Uzalo, Muvhango, 7de Laan and others are not getting the money they need to produce the content the SABC needs with actors, presenters and production crews anxious as they wait to be paid.

With ongoing plummeting SABC viewership and listenership to record lows, and with the public broadcaster's cash reserves basically depleted, more information is coming to light about the SABC once again finding itself in the precarious position in 2009.

In 2009 after mismanagement, maladministration, corruption and gross overspending, the South African public broadcaster came to the brink of financial collapse and was only saved through a government bail-out in the form of a government-guaranteed loan of R1,4 billion from Nedbank.

Although the public broadcaster was pulled back from the brink, the SABC inflicted massive damage on South Africa's TV industry and decimated independent producers with some who were forced to sell their houses and cars.

Now the SABC is once again in a dramatic cash-crunch months after the controversial former chief operating officer (COO) Hlaudi Motsoeneng ordered a dramatic increase in local radio airplay on the SABC airwaves and announced his plan for an abrupt increase in local content on SABC TV channels, starting with 80% on SABC3.

SABC executives in July 2016 already raised the alarm that the SABC will be running out of money within months, something the SABC at the time denied. Last month acting SABC CEO James Aguma told parliament that the SABC's finances are stable.

In reality the SABC at the end of this month will have used up the last of its cash reserves.

After the SABC abruptly failed to pay all of its service providers, production companies and creditors at the end of March, the SABC's acting chief financial officer (CFO) Audrey Raphela, in a hurried letter told service providers and producers that "you will be contacted individually by your SABC counterparts to clarify how our obligation to you will be honoured by no later than the week ending of 7 April".

The Daily Sun now reports that SABC1's most watched show, Uzalo, only received partial payment. SABC2's Muvhango and 7de Laan were reportedly not paid and are waiting for their money. It's the same with SABC3's Isidingo that the SABC also allegedly failed didn't pay.

The SABC as a public broadcaster doesn't want to publicly comment about who didn't get paid at the end of March, with SABC spokesperson Kaizer Kganyago that told The Daily Sun "we will not engage in the public domain with the people that we work with. That's why we have decided to engage them directly."

According to insiders several SABC shows ranging from SABC1's Selimathunzi to SABC3's Top Billing have allegedly not been paid, as scores of production crews, actors and presenters are waiting on their money.

The Independent Producers' Organisation (IPO) representing hundreds of producers and production companies in a statement to TVwithThinus says it is alarmed over the SABC's latest payment failure.

"These payments are generally for work that has already been delivered or is in the process of being made. These payments go towards paying suppliers including actors, directors, technical crew, caterers, equipment suppliers, car hire companies and fuel. These are the people who work 12 hour days to bring some of the country's favourite programmes to life".

"The failure of the SABC to pay not only places the industry in crisis, but also puts thousands of livelihoods, bond and loan repayments, school fees and living expenses at risk. The impact on the many thousands of lives is dire," says the IPO.

The IPO says the dire situation the SABC is once again finding itself in, is negatively affecting "the general industry, including actors and crew".

Tell-tale signs of the current cash-crunch was foreshadowed in October 2016 when the SABC's failure to sign new contracts in time saw Muvhango's executive producer forced to take out a bank loan to try and pay cast and crew while 7de Laan warned actors and crew in a shocking note that they won't be paid.

Later that month the SABC rushed to finally sign new contracts. By delaying signing contracts the SABC was able to keep more money in the bank for longer.

In November 2016, despite a signed contract for a third season that was months into production, the SABC suddenly pulled the plug on SABC3's High Rollers, ordering it off the air within 30 days and suddenly leaving hundreds of crew and actors without jobs.

Meanwhile pressure is mounting as South Africa's treasury and the new minister of communications Ayanda Dlodlo will have to decide what form the possible latest government bail-out of the SABC will take.

Without a massive cash injection within weeks, the cash-strapped SABC's operations will start to seize up from the end of the month.

South African artists - actors, crew, producers - blast the SABC for 'unprecedented' decision wanting to cancel local drama High Rollers on SABC3.

The SABC has been put on full blast by South African artists working in the TV biz, slamming the public broadcaster for wanting to cancel the SABC3 prime time drama High Rollers after boss Hlaudi Motsoeneng constantly said the SABC is supporting local productions and artists.

The South African TV industry is reeling with shock after SABC3 told Rous Hous Productions it wants the casino-set, local prime time soap currently in its 3rd season, off the air within 30 days – even though the production has a much longer contract for more episodes.

A longtime and respected veteran TV producer not working on High Rollers and speaking on condition of anonymity so as to not damage existing and future business relations with the SABC, called the SABC's shock decision "unprecedented" and "unheard of".

The producer told TVwithThinus that "cancelling a contract for a long format production without valid reason and without due notice and the chance to correct what is wrong is unheard of in the industry, and reeks of a purge of local English programming by Hlaudi".

"A sudden cancellation with 30 days' notice is also unheard of, especially as long format series usually script and shoot 2 to 3 months ahead of broadcast."

'Absolutely devastating'

"I would advise all agents, writers, actors and crew along with the producers to do a class action suit or individually sue SABC for breach of contract, as the creatives and crew have been contracted by the production house for a full term of work, which the production house is now forced to break because SABC has breached the terms of its contract with the production house," said the producer.

"An unexpected cancellation like this is absolutely devastating for writers, actors, crew and their agents," said the producer.

"Once a contract is signed, that money becomes absolute and is used to keep a roof over the head, food on the table and children in school. Take it away two thirds of the way through the contract, and you leave some 150 workers and their families destitute. And there is a real chance that it could ruin the production house and force it to close its doors."

The SABC's shocking move to abruptly dump High Rollers comes after it actually increased the number of High Rollers episodes screened per week and moved the show's timeslot from 20:30 to 19:30.

In May High Rollers was renewed for a full third season of 156 episodes on SABC3 and extended from three to five episodes per week.

Hundreds of South African viewers have since signed an online petition signed an online petition that was started here to try and save High Rollers from cancellation – already setting a South African TV record for the most people signing to keep a canned local programme on the air in the SABC’s 40-year TV history.

While the ratings for High Rollers has fallen since May when Hlaudi Motsoeneng abruptly ordered a quota of 80% local content for the channel – a plan that flopped – the viewership decrease for the show is in line with the entire SABC3 viewership that keeps spiraling down month after month since the introduction of the new crop of local shows that all failed to attract viewers.

Ironically it’s highly unlikely that replacement new programming stripped in the 19:30 timeslot will yield SABC3 higher ratings than High Rollers that has an ongoing daily narrative it's replacing; and new shows – often having to build from scratch instead of having a dedicated audience – also often cost broadcasters more than existing shows.

The SABC was asked why it wants High Rollers cancelled before the end of its contract that will leave hundreds of cast and crew out of jobs just before Christmas, why the SABC wants out of a show only two thirds through its latest contract, and if the SABC is concerned about the message it's sending when it cancels a local show while saying it wants more local content for SABC3.

SABC spokesperson Kaizer Kganyago told TVwithThinus in response "the SABC is not in a position to discuss its contractual obligations with production houses and content providers with third parties including the media. If there is anything to be communicated to the production house or the public, the SABC shall do so accordingly".

'SABC has no regard for our industry'

Industry representative bodies like the South African Screen Federation (Sasfed), the South African Guild of Actors (SAGA) and The Independent Producers Organisation (IPO) are aware of the SABC's intent to yank High Rollers before it’s existing contract has expired but have not yet commented publicly.

Meanwhile South African artists – actors, crew and people working on, and who have worked on the show – are slamming the SABC and publicly voicing their support for the show.

"The SABC needs all the quality stuff it can get," said actor Craig Urbani while Des Lindberg said "the public broadcaster should serve the South African public. It is not doing this".

Actress Mbali Hlatshwayo said the "SABC is taking people for granted, it can't cancel High Rollers".

Cast members Justin Strydom said the SABC has acted in bad faith and Vilje Maritz said "it's wrong an unethical".

Former crew member Mandisa Moffat says "the very abrupt cancellation of this show will leave many good people suddenly jobless, and so many fans hanging mid-story". 

Former cast member Motlatji Ditodi said "the cancellation is very confusing and criminal in nature, as people's livelihoods will be stolen from them".

Nico Panagio said "the cast, crew and producers of High Rollers are brilliant pioneers" and that "their work should be celebrated, revered and visciously protected".

"The SABC has no regard for our industry,” said Ilse Klink. "Contracts were signed, this is an illegal move by the SABC. Stop taking the arts for granted. People’s livelihoods are at stake".

"I'm an actor myself and justice needs to be done," said Hykie Berg, while artist Sive Matiwane said "it is high time this country respect our profession".

Actress Anel Alexander said "the actions of the SABC is hindering any possible growth. This is one of the very few local, high quality programmes on their channel. We should be fighting to keep this home-grown content on the air".

"I got my big directing break on High Rollers," said Tebogo Mkhabela. "It's a great show".

"My fellow filmmakers don't deserve to lose their jobs like this," said Toby Harris.

South Africa's Independent Producers Organisation (IPO) holding its first-ever producers' conference.

South Africa's Independent Producers Organisation (IPO) is holding its first-ever producers' conference in the country today in partnership with the SABC and the Gauteng Film Commission, entitled 20/20 Vision Conference.

The 20/20 Vision Conference is taking place at the SABC's Auckland Park headquarters for producers.

"The Independent Producers Organisation exists to serve film and TV producers and one of its key mandates is to represent, promote and protect the specific needs and interests of producers, says Akin Omotoso, IPO chairperson.

"The engagements were motivated by the reality that we are in the process of shaping a new IPO, an organisation that we envisage working with stakeholders," says Akin Omotoso.

Speakers at the IPO's 20/20 Vision Conference include IPO executive Marvin Saven, Harriet Gavshon and Michael Auret as well as Andile Mbeki (Gauteng Film Commission CEO) and someone from the SABC.

BREAKING. Independent Producers Organisation (IPO) on SABC: 'a once proud institution has been severely degraded over the past few years'.

South Africa's Independent Producers Organisation (IPO) says it is "dismayed" by the information released by the Public Protector who released a scathing report on fraud, maladministration and abuse of power at the SABC, following an as scathing report on the SABC by PricewaterhouseCoopers (PwC) which did a skills audit on the SABC.

The Independent Producers Organisation which represents the majority of South Africa's working producers, says it is "concerned and distressed by the continuing instability at the SABC".

"There are many people in South Africa for whom this is their only source of information and entertainment. Whilst the organisation is making a few people rich, the quality of programming is suffering".

"Budgets are extremely low and the SABC is forced to rely more and more in advertisers to fund programming, which comes with severe challenges".

"In addition the South African production sector which is a source of thousands of jobs is becoming less and less sustainable and the quality of programming is decreasing," says the Independent Producers Organisation.

"Instead of money going into the SABC's core function - which is programming - it is supporting an inefficient and incompetent bureaucracy riddled with factional political, personal interests and corruption".

"A once proud institution has been severely degraded over the past few years. Blatant irregularities, fiscal mismanagement and fraudulent leadership has cripped the once diverse, content-orientated SABC, turning it into a dysfunctional burden on the tax payer".

"We call on the institutions designed to provide oversight - parliament, the shareholder in the department of communications and the Independent Communications Authority of South Africa (Icasa) to exercise their mandate and to intervene urgently," says the IPO.

BREAKING. Massive TV industry workshop planned for February.

You're reading it here first. People in the TV industry (which I just LOVE to write about) can circle the VERY IMPORTANT DATES of 3 and 4 February 2010.

Get ready for a MASSIVE NATIONAL WORKSHOP on these two days early next year.

The crisis at the SABC will see a historic coming together in February 2010 of the TV business and labour in the film and TV industry when CWUSA (Creative Workers Union of South Africa), the IPO (Independent Producers Association) and SASFED (South African Screen Federation) is planning to have a two day workshop to seek out and agree on a common vision and roadmap for the film and TV industry.

Key issues that will be discussed will be intellectual property ownership, fair trade, financial agreements between broadcasters, producers and artists and what the industry can do around building local TV and film content.