Page 133 - TKZN Annual Report 2023/2024

KWAZULU-NATAL TOURISM AUTHORITY
Trading as Tourism KwaZulu-Natal
Annual Financial Statements for the year ended 31 March 2024
Notes to the Annual Financial Statements
21. Contingencies
Contingent Liabilities
1. Cases referred to the CCMA (Commission for conciliation, mediation and arbitration)
As at the reporting date, three employees took their labor disputes with the entity to the CCMA.
Case number- KNDB1684-24: Matter between a former employee vs Tourism KwaZulu Natal: 186(2)(a) - Unfair conduct/promotion/demotion/probation/training/benefit. Arbitration was held 11 July 2024 at CCMA, the next set dates for Arbitration are 3 and 4 September 2024.
Case number- KNDB6950-24: Matter between a former employee vs KZN Tourism Authority: 191(1) [191(5)(a)] - Dismissal related to misconduct. The case was set for Conciliation /Arbitration on the 19th July 2024 ,and lator postponed to 1st of August.
Case number- KNDB3690-24: Matter between a former employee vs Tourism KwaZulu Natal: 186(2)(a) - Unfair conduct - promotion/demotion/probation/training/benefits. Conciliation/Arbitration was held on 24 April 2014 at CCMA. No further communication has since been recieved from CCMA.
2. Surrender of surpluses
The entity annually declares all surpluses or deficits to the relevant Treasury from the period 1 August to 30 September of each year, using its audited annual financial statements as the basis for calculation of surpluses or deficits.
The entity submits requests to the relevant Treasury to retain surpluses in terms of section 53(3) of the PFMA, as and when appropriate.
The entity submits requests to the relevant Treasury to retain surpluses in terms of section 53(3) of the PFMA, as and when appropriate. Unless exempted by the National Treasury, the entity invests surplus funds with the Corporation for Public Deposits.
The entity surrenders for re-depositing into the relevant Revenue Fund, all surpluses that were realised in a particular financial year –
(a) which were not approved for retention by the relevant Treasury in terms of section 53(3) of the PFMA; or
(b) where no application was made to the relevant Treasury to accumulate the surplus in terms of section 53(3) of the PFMA.
The surpluses are surrendered for re-depositing into the relevant Revenue by no later than 30 November of each year, as prescribed.
Failure by the entity to submit a surplus retention request to the relevant Treasury by 30 September each year will result in the entity having to surrender the surplus to the relevant Revenue Fund by 30 November, unless there has been a delay in the finalisation of the audit.
In the case of a delay in the finalisation of the audit –
(a) a letter is sent to the relevant Treasury by the 30th September explaining the delay.
(b) a surplus retention request is submitted to the relevant Treasury within 30 days of finalising the audit.
National Treasury instruction note 6 of 2017/2018, required entities to request from treasury the retention of cash surpluses(if any ). As at the reporting date the request had not yet been approved and therefore the cash surplus will remain a contingent liability till its approved.
Figures in Rand Thousand
TOURISM KWAZULU-NATAL ANNUAL REPORT 2023/2024 131