- The DA demands an investigation into labour abuse and animal cruelty at Daybreak Foods.
- Over R1.4 billion in public funds is at risk due to mismanagement.
- The DA calls for accountability for the PIC.
The Democratic Alliance (DA) is outraged by disturbing reports of unfair labour practices and animal cruelty at Daybreak Foods, a state-owned company backed by public funds.
We are calling for an urgent and full investigation by the Financial Sector Conduct Authority (FSCA) into this unfolding crisis.
Daybreak Foods, owned by the Public Investment Corporation (PIC) on behalf of the Government Employees Pension Fund, the Compensation Fund, and the Unemployment Insurance Fund, is reportedly facing financial collapse. Over R1.4 billion in public money is now at risk – money that belongs to South African workers, pensioners, and the unemployed.
Even more concerning are the human and ethical costs. Workers have reportedly gone unpaid, leaving families in crisis, while animals are allegedly being kept in unacceptable and inhumane conditions.
One of the most horrific consequences of this mismanagement was the recent mass euthanisation of more than 350 000 chickens. The scenes were so distressing that the SPCA described them as “traumatic.”
Reports indicate that starvation and overcrowding forced this drastic action – a shocking reflection of just how deep the operational failures run at this publicly funded entity.
This is not just financial mismanagement, it is a collapse of accountability, governance, and basic decency.
It is alleged that the Chairperson of the Board, Bojane Segooa, resigned amid this chaos and walked away with a R625 000 payout, while the company cannot afford to feed its animals or pay its staff. This is unconscionable.
The FSCA has a legal duty to oversee the conduct of financial institutions like the PIC. We demand that the FSCA immediately launch a comprehensive investigation into how this situation developed and hold those responsible fully accountable.
The Report of the Judicial Commission of Inquiry into Allegations of Impropriety at the Public Investment Corporation flagged the acquisition of Daybreak Foods as potentially irregular due the PIC’s shareholding exceeding the prescribed 30% investment threshold.
The DA has submitted a Public Access to Information Act (PAIA) application to compel National Treasury to provide details on the implementation of the enforcement recommendations of the Commission.
We support public investments that uplift communities, protect workers, and grow the economy. However, we will not stand by while public funds are wasted, employees are mistreated, and animals suffer.