Senior executives working for the government, who did not get a pay rise in 2021/22, will now receive a cash gratuity retroactive to April 1, the Civil Service and Employment Ministry announced on Thursday. Administration.
They will also receive a 1.5% salary increase in accordance with civil service provisions which provide for “salary progression” each year.
The cash gratuity is the same as that given to the rest of the public service last year. The senior executive rank will receive R1,818 per month before tax and the lower ranks R1,695.
The head of the national treasury budget office, Edgar Sishi, said the 1.5% was already part of the fiscal framework. The cash gratuity would cost the government R230 million.
“Very low” cost
Neither would require adjustment of the fiscal framework and would be absorbed by departments, he said.
“No adjustments to budgets are made for this purpose. Departments will absorb the cost, which is very low,” he said.
The government has come under fire from investors and credit agencies for failing to keep the line on civil servants’ salaries. Although he planned to award only 1.5% based on salary progression and no increase in the cost of living, a cash gratuity was eventually paid in order to settle an ongoing dispute with the employees.
The gratuity for employees in the negotiation cost the government in the region of R20 billion for 2021/22. Part of the agreement with the unions provided that the arrangement would continue until a new agreement was reached. It is expected to continue in 2022/23.