Municipal bosses to get huge pay rises

PravinFIkile
PravinFIkile
Municipal managers and other senior managers in local government can look forward to massive pay hikes.

This is after the national Department of Cooperative Governance recategorised some municipalities, resulting in salary package adjustments of more than 40%.

Last year, Cogta Minister Pravin Gordhan gazetted the determination of upper limits for municipal managers and managers directly accountable to them – a move which forced some municipalities to pay their new managers lower salaries.

The introduction of the regulations saw a number of municipalities writing to Gordhan asking for waivers.

Cogta MEC Fikile Xasa said at the time that his office had received numerous requests for waivers but had not received responses from Gordhan’s office.

In July this year, another gazette with higher remuneration packages was published.

In the old 2014 gazette, category one municipalities were meant to pay municipal managers between R575930 and R703910.

The new gazette places the salary packages of municipal managers in category one municipalities between R804440 and R983204.

Councils are awarded points on the basis of total municipal income, equitable share and the total wage bill. The points are then combined to determine which category the municipality falls under.

When the old gazette was published, KSD municipality had already been paying its managers much more than the regulations.

Directors receive more than R1.1-million, while the municipal manager’s salary is about R1.3-million.

King Sabata Dalindyebo municipality’s total income was R479-million, its salary bill was R280-million, and its total equitable share was R184-million.

This gives the municipality 84 points, putting it into category five.

According to the new, gazette, which will only affect new managers, the salaries will range between R1.05-million and R1.4-million for municipal managers and R977270 to R1.3-million for directors.

Buffalo City Metro spokesman Thandy Matebese said the metro’s total income was R5.7-billion, the salary and wage bill R1.3-billion, while the total equitable share was R655-million.

This puts BCM in category eight, in which municipalities are meant to pay municipal managers between R1.6-million and R2.8-million. Suspended municipal manager Andile Fani was earning R2.3-million.

According to information from last year, the Nelson Mandela Metro’s total income bill was R6.5-billion, with a wage bill of more than R2-billion and equitable share amounting to R761-million, also placing it into category eight.

For bigger municipalities such as the City of Johannesburg – salaries of municipal managers should range between R2.1-million and R3.3-million.

For managers directly accountable to municipal managers in category nine municipalities, salaries will range between R1.4-million and R2.2-million.

KSD spokesman Sonwabo Mampoza said: “We hope it will motivate candidates who will be recruited to see KSD as a municipality with a future.”

NMM spokesman Mthubanzi Mniki had not responded q at the time of writing.

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