Eastern Cape premier Phumulo Masualle yesterday raised concerns that almost two-thirds of the province’s budget went to the salaries of civil servants.
Masualle said not only was the wage bill 65% of the total budget but the figure continued to escalate “in an environment where the pool of resources to deliver services and drive socio-economic development continues to shrink”.
Delivering the office of the premier's (OTP) 2016-17 policy speech at the Bhisho legislature yesterday, Masualle said the province needed to “optimise” the budget by driving the wage bill lower.
The plan was to abolish posts no longer required in the organograms of provincial departments and by “boarding” employees who had been ill for extended periods of time.
But, said the premier, reducing administrative posts in favour of core posts in a quest to reduce the wage bill was part of a wider strategy.
“We are doing this in order to ensure that our resources are more effectively and efficiently applied to meeting the needs and demands of our people,” said Masualle.
A provincial coordination and monitoring team (PCMT) has been revived, with the terms of reference drafted between the OTP and the provincial treasury.
Its aims are to focus on interrogating departmental adherence to the province’s cost-cutting measures and to guide its reduction in the cost of employees’ salaries. “The resuscitation of the PCMT, a structure that will assist in prioritisation of recruitment plans for departments, will ensure that only critical posts are filled.”
Masualle revealed that working with the provincial treasury, the provincial government will centralise the recruitment processes for five departments from June 1.
“Advertisements for posts will also be centralised to reduce costs and duplication of functions.
“Persal authorisation will be centralised for all departments at treasury.
“This will necessitate movement of personnel in certain instances as functions will be centralised,” he said.
He did not identify the five departments.
Masualle added that the provincial government would, “as far as possible attempt to accommodate staff members that will be adversely affected by this difficult, but necessary transition”.
He said contingency plans for alternative placement, re-skilling and training would be developed to ensure that those affected employees “are able to transition into employment elsewhere”.
Four other provincial departments tabled their policy speeches during yesterday’s house sitting.
Other than the OTP, the legislature, health, social development and roads and public works departments also tabled their achievements and plans for the new financial year.
Runaway salary bill under fire
Masualle said not only was the wage bill 65% of the total budget but the figure continued to escalate “in an environment where the pool of resources to deliver services and drive socio-economic development continues to shrink”.
Delivering the office of the premier's (OTP) 2016-17 policy speech at the Bhisho legislature yesterday, Masualle said the province needed to “optimise” the budget by driving the wage bill lower.
The plan was to abolish posts no longer required in the organograms of provincial departments and by “boarding” employees who had been ill for extended periods of time.
But, said the premier, reducing administrative posts in favour of core posts in a quest to reduce the wage bill was part of a wider strategy.
“We are doing this in order to ensure that our resources are more effectively and efficiently applied to meeting the needs and demands of our people,” said Masualle.
A provincial coordination and monitoring team (PCMT) has been revived, with the terms of reference drafted between the OTP and the provincial treasury.
Its aims are to focus on interrogating departmental adherence to the province’s cost-cutting measures and to guide its reduction in the cost of employees’ salaries. “The resuscitation of the PCMT, a structure that will assist in prioritisation of recruitment plans for departments, will ensure that only critical posts are filled.”
Masualle revealed that working with the provincial treasury, the provincial government will centralise the recruitment processes for five departments from June 1.
“Advertisements for posts will also be centralised to reduce costs and duplication of functions.
“Persal authorisation will be centralised for all departments at treasury.
“This will necessitate movement of personnel in certain instances as functions will be centralised,” he said.
He did not identify the five departments.
Masualle added that the provincial government would, “as far as possible attempt to accommodate staff members that will be adversely affected by this difficult, but necessary transition”.
He said contingency plans for alternative placement, re-skilling and training would be developed to ensure that those affected employees “are able to transition into employment elsewhere”.
Four other provincial departments tabled their policy speeches during yesterday’s house sitting.
Other than the OTP, the legislature, health, social development and roads and public works departments also tabled their achievements and plans for the new financial year.
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