Minister dissolves National Arts Council board amid governance concerns

The decision, announced on 26 May, was taken under Section 5(5) of the National Arts Council Act of 1997.

According to the ministry, the dissolution follows an ongoing dispute concerning performance bonuses covering the 2019/20, 2020/21 and 2021/22 financial years. The dispute led to a protected strike and financial difficulties affecting employees.

The ministry stated that on 22 April, McKenzie wrote to the Council chairperson requesting an urgent special meeting to approve a once-off settlement to end the dispute and outlining a governance framework for the process. The ministry said no agreement had been reached and that the Council had failed to address the matter with sufficient urgency.

“The National Arts Council exists to serve the arts sector and the people of South Africa. It cannot fulfil that mandate while its governance is consumed by a dispute of this nature,” McKenzie said.

“I gave the Council ample opportunity and a clear framework to resolve this matter. That opportunity was not taken. I have therefore exercised my authority under the Act and dissolved the Council with immediate effect.”

The minister also raised concerns over information relating to procurement decisions made during the Council’s current term, including expenditure on external recruitment fees and mobile devices for Council members. According to the ministry, these expenditures appeared inconsistent with the institution's stated financial constraints.

McKenzie instructed the Department of Sport, Arts and Culture (DSAC) to conduct a review of the matters, adding that any findings involving financial misconduct or irregular expenditure would be referred to relevant authorities.

Following the decision, all current Council members immediately ceased holding office.

The ministry said the acting chief executive officer and chief financial officer would continue overseeing day-to-day operations and report to DSAC until further arrangements are made. The department's Director-General, in consultation with the minister's office, will determine interim accounting authority functions in line with relevant legislation.

The appointment process for a new Council is expected to begin immediately.

“The appointment of a new Council will proceed without delay and in strict accordance with the law,” McKenzie said.

“My priority is to ensure that the NAC has stable, capable governance in place as soon as possible, and that its work in support of South Africa’s artists and arts organisations continues without interruption.”

In a separate statement, the NAC said it had formally received communication regarding the minister's decision and would continue operations during the transition period.

“The NAC respects and acknowledges the Honourable Minister’s decision and remains committed to ensuring operational stability and continuity in support of South Africa’s arts and culture sector during this transitional period,” the organisation said.

The organisation added that executive management would continue overseeing daily operations while working with the Department of Sport, Arts and Culture to ensure that programmes and services continue without interruption.