Student groups, unions and opposition parties criticised a plan to place NSFAS under administration, while the minister says it is needed for long-term sustainability.
A decision to place NSFAS under administration has sparked sharp backlash from unions and student formations, with critics arguing the move was rushed and risks deepening distrust.
Higher Education Minister Buti Manamela defended the decision to place the National Student Financial Aid Scheme under administration, saying it is required to secure the scheme’s long-term sustainability.. He appointed Hlengani Mathebula as administrator, framing the step as an intervention aimed at stabilising NSFAS.
For critics, the dispute is not only about governance, but about whether the state can restore confidence in a system that students rely on.
Labour union NEHAWU was among the most vocal opponents, pointing to what it described as a record of maladministration and financial irregularities tied to earlier periods when NSFAS was under administration.. NEHAWU spokesperson Lwazi Nkolonzi said the union is “referring to” Auditor General reports for the 2018 to 2019 financial year and alleged that investigations are ongoing into money it said was wasted through irregular expenditure.
NEHAWU also criticised the process, saying it was not consulted before the decision was taken. The union argued that it would have shared its experiences with previous administrators had it been included earlier.
This matters because consultation affects legitimacy: when stakeholders feel sidelined, even corrective measures can be interpreted as political rather than practical.
In its argument, NEHAWU noted that the NSFAS Act does not spell out union consultation. Still, the union said it is grounding its position in broader constitutional and labour principles, particularly the requirement for public administration to be accountable and transparent.
Meanwhile, opposition parties and civil society organisations joined the criticism, while Manamela maintained that the minister’s actions are aimed at ensuring the scheme can operate sustainably going forward.. The disagreement centres on both procedure and oversight, with each side pointing to different ways of reading the relevant legal framework.
At stake is whether accountability mechanisms can be strengthened without further eroding trust among those who depend on NSFAS. For many students, the focus will be on outcomes, not just the administrative change itself.
Misryoum will continue to follow developments as the administration plan moves forward and as scrutiny of past spending remains a central part of the debate.