{"id":90202,"date":"2015-06-09T10:31:28","date_gmt":"2015-06-09T08:31:28","guid":{"rendered":"http:\/\/businesstech.co.za\/news\/?p=90202"},"modified":"2015-06-09T10:31:28","modified_gmt":"2015-06-09T08:31:28","slug":"sa-smacked-with-r61-billion-government-wage-bill","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/government\/90202\/sa-smacked-with-r61-billion-government-wage-bill\/","title":{"rendered":"SA smacked with R61 billion government wage bill"},"content":{"rendered":"<p>South Africa&#8217;s public servants will cost the country an estimated R61 billion, thanks to a three-year deal to increase government wages.<\/p>\n<p>According to a <a href=\"http:\/\/af.reuters.com\/article\/southAfricaNews\/idAFL5N0YU0W520150608?pageNumber=1&amp;virtualBrandChannel=0\" target=\"_blank\">Reuters report<\/a>, the figure was quoted by acting Public Service and Administration Minister Nathi Mthethwa.<\/p>\n<p>In May, government agreed to a 7% wage increase for approximately 1.3 million public servants\u00a0&#8211; including nurses, teachers and police officers &#8211;\u00a0bringing the country&#8217;s wage bill paid from government coffers to as much as R470 billion.<\/p>\n<p>The wage bill has increased over 80% in the past 10 years, and the annual increase has averaged more than 6% above inflation, Reuters said.<\/p>\n<p>According to the report, government may look at\u00a0reducing the wage increase by 0.6%, which could result in the deal being scrapped, and massive strike action in the public sector.<\/p>\n<p>This would put an already strained economy under even more pressure, counter to government&#8217;s attempts to curb spending and boost investment in the country.<\/p>\n<p>Opposition party, the Democratic Alliance said recently that President Jacob Zuma can save the country billions by abolishing a third of government ministries.<\/p>\n<p>Zuma presides over one of the most bloated Cabinets in the world with 35 ministers and 37 deputy ministers, which the DA said fosters a \u201cfertile ground for very costly ANC-style cadre deployment extravagance\u201d.<\/p>\n<p>Sej Motau, DA shadow minister in the Presidency said: \u201cThe negative consequences of this ill-considered massive executive structure are there for all to see: an astronomical public service wage bill that grows every year.\u201d<\/p>\n<p>\u201cThere is very little to show for this huge expenditure as productivity continues to deteriorate resulting in ever-increasing service delivery protests from angry, frustrated communities around the country,\u201d Motau said.<\/p>\n<p>Last week, Parliament approved a salary increase for the president, adding R130,000 to his annual pay, totalling over R2.7 million.<\/p>\n<p>In January, the Independent Commission on the Remuneration of Public Office Bearers recommended a 5% increase for all office bearers, including the president, deputy president, ministers, deputy ministers and members of parliament.<\/p>\n<h3 class=\"my-4\">More on wages in South Africa<\/h3>\n<p><strong><a title=\"Permalink to R500 billion wage bill for \u2018cadre deployment\u2019\" href=\"http:\/\/businesstech.co.za\/news\/government\/88668\/r500-billion-wage-bill-for-cadre-deployment\/\" rel=\"bookmark\">R500 billion wage bill for \u2018cadre deployment\u2019<\/a><\/strong><\/p>\n<p><strong><a href=\"http:\/\/businesstech.co.za\/news\/general\/80613\/scrap-deputy-ministers-and-save-r355-million-da\/\">Scrap deputy ministers and save R355 million: DA<\/a><\/strong><\/p>\n<p><strong><a href=\"http:\/\/businesstech.co.za\/news\/government\/78662\/zumas-salary-vs-other-world-leaders\/\">Zuma\u2019s salary vs other world leaders<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>SA public servants will cost the country an estimated R61 billion, thanks to an increase in government wages.<\/p>\n","protected":false},"author":10,"featured_media":20450,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23],"tags":[10333,26,8662],"class_list":["post-90202","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-government","tag-government","tag-headline","tag-wage-bill"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/90202","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=90202"}],"version-history":[{"count":3,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/90202\/revisions"}],"predecessor-version":[{"id":90208,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/90202\/revisions\/90208"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/20450"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=90202"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=90202"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=90202"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}