South Africa's Tourism Faces Turmoil: Minister Dissolves Board Amid CEO Suspension Row!

South Africa’s tourism sector is grappling with significant governance challenges following Minister of Tourism, Patricia de Lille’s, public rejection of the South African Tourism (SAT) board’s decision to place its Chief Executive Officer, Nombulelo Guliwe, on precautionary suspension. Minister de Lille categorically labeled the suspension as “unlawful,” citing that the SAT board was “not properly constituted” at the time it took the resolution.
The core of the dispute centers on the resignation of the board’s chairperson, Professor Gregory Davids, on July 31, 2025. According to legal advice obtained by the Minister, the absence of a chairperson rendered the board ineligible to make such a critical decision as suspending the CEO. “As of 31 July 2025, the South African Tourism Board does not have a board chairperson… This means the board in its current form is not properly constituted to take such a resolution,” Minister de Lille stated, emphasizing the procedural invalidity of the board’s actions.
The SAT board had initially announced Guliwe’s immediate suspension pending an investigation into alleged misconduct, with plans to appoint an interim acting CEO to ensure operational continuity. However, Minister de Lille’s firm stance underscored a deep-seated concern over governance principles and due process, highlighting the critical need for stable and transparent leadership, especially as the country strives to maintain its post-pandemic recovery momentum and bolster stakeholder confidence ahead of the peak travel season.
This internal conflict has surfaced at a particularly sensitive time for South Africa’s tourism industry, which is actively working to rebuild international arrivals, stimulate domestic tourism, and restore jobs lost during the COVID-19 crisis. The uncertainty surrounding SAT’s leadership could undermine efforts to project South Africa as a reliable and attractive destination in an increasingly competitive global market, potentially diverting attention from essential objectives such as marketing, product development, and partnership-building.
In a decisive move, Tourism Minister Patricia de Lille subsequently announced the dissolution of the South African Tourism Board, effective immediately. This action was taken in terms of section 16(3)(a) of the Tourism Act, which empowers the Minister to dissolve the board on good cause shown. Additionally, the Minister removed the individual members of the Board under section 16(1) of the Act. This decision followed the Minister’s consideration of written representations from the board members, who ultimately failed to provide a satisfactory explanation for the legality of the procedures followed.
The Minister’s decision was further underpinned by the finding that a special Board meeting convened on August 1, 2025, at which the unlawful resolution to suspend the CEO was taken, was itself unlawfully convened. Section 18(2) of the Tourism Act explicitly grants the Board Chairperson the exclusive power to convene a special board meeting. This is further corroborated by clause 9.1.2 of the Board Charter, adopted on April 16, 2024. As Professor Gregory Davids had resigned on July 31, 2025, the board lacked a chairperson to lawfully convene the meeting on August 1, 2025, thus acting unlawfully and ultra vires its powers.
Minister de Lille had previously expressed concerns regarding the board's adherence to governance procedures. In a meeting on July 4, followed by a letter dated July 13, 2025, she cautioned the board about the implications of failing to follow due process, warning that such failures could render meeting outcomes procedurally invalid. The board had responded on July 22, 2025, assuring the Minister of “enhancements” to ensure all meetings were “properly constituted, chaired, and documented.” However, these assurances proved insufficient given the subsequent unlawful actions.
The Department of Tourism highlighted that the SAT Board, as a “creature of statute” created under section 13 of the Act, derives its powers from the enabling legislation and its Board Charter. Consequently, its actions must always be guided by the principle of legality, a fundamental component of the rule of law enshrined in section 1(c) of the Constitution of South Africa.
Looking ahead, Minister de Lille will initiate the process to appoint a new board in accordance with section 13(3) of the Act, inviting nominations for eligible persons. In the interim, she will appoint one or more individuals to manage the board’s affairs until the new board is officially in place, ensuring administrative continuity.
The Department of Tourism has assured the public and the sector that these developments will not impede ongoing programmes. This includes SA Tourism’s collaboration with the Tourism Business Council of South Africa (TBCSA) to deliver a successful G20 summit and the finalization of plans for the inaugural Tourism Investment Summit. The Investment Summit, scheduled for September 10, 2025, in Cape Town, Western Cape, will host various Tourism Ministers from G20 member states and delegates from the World Travel and Trade Council, showcasing bankable infrastructure projects to local and international investors.
The Ministry’s and Department’s programmes and interventions continue to be informed by the Government of National Unity’s three key priorities: driving inclusive growth and job creation; reducing poverty and tackling the high cost of living; and building a capable, ethical, and developmental state. Furthermore, September will also mark Tourism Month, featuring announcements of winning digital solutions from a hackathon involving students from 18 higher education institutions, alongside promotions for domestic tourism packages offering discounts of up to 50% via the Sho’t left website.
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