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Workers in limbo after collapse of Free State municipal flagship development agency

───   KEKELETSO MOSEBETSI 08:06 Tue, 10 Feb 2026

Workers in limbo after collapse of Free State municipal flagship development agency | News Article
The entrance to offices of the Lejweleputswa district municipality. Photo: Daily Maverick

Workers at the Lejweleputswa Development Agency (LDA), a flagship municipal entity in the Free State, have been left in limbo after not being paid salaries for at least the past five months.

Without pay, they reportedly endured a bleak festive season and a difficult start to the new year. The situation has been worsened by the closure of LDA offices, which have reportedly been shut for at least four months.

Sources say the challenges facing the agency stem from alleged corruption and mismanagement of funds, among other issues. These failures have left workers frustrated and uncertain about whether they will ever receive the money owed to them.

OFM News attempted to speak to several affected workers, who declined to comment. Some employees directed reporters to LDA management for answers.

In response to questions sent to the entity, LDA spokesperson Thabo Dlamini confirmed that the council had decided to dissolve the Lejweleputswa Development Agency through liquidation.

All matters relating to the LDA, including staff issues, will now be handled by the appointed liquidator, and the liquidation process is sub judice and carries legal implications, he added.

For more than a decade, residents of Lejweleputswa were promised economic renewal through the agency. 

Communities were told that new industries would be established, jobs would be created, and investment would be attracted to the region to offset the decline of mining activities in the northwestern part of the Free State, including the Goldfields.

LDA was established specifically to stimulate economic growth, attract investment, and support local enterprise. However, over the years, residents raised concerns about some of the projects undertaken by the entity, questioning their impact and sustainability.

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OFM News/Kekeletso Mosebetsi cvs

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