Government announces below-inflation pay hike for public servants

Public servants across various levels of public service can expect a boost in their paycheques starting 1 April 2024, as announced by the Minister for Public Service and Administration, Noxolo Kiviet.

This comes as the country’s inflation rate climbed to 5.6% in February 2024, up from January’s 5.3%, slightly surpassing market forecasts of 5.5%.

Government announces 4.7% pay raise for public servants

The government has opted for a 4.7% salary increment for non-SMS Members on levels 1-12 in the public service for 2024, balancing fiscal responsibility and recognising public servants’ dedication.

Minister Kiviet stressed the importance of attracting and retaining talented individuals committed to serving the nation, highlighting their critical role in effective public institutions’ functioning and meeting citizens’ needs.

Additionally, the decision to implement the salary increment reflects the government’s commitment to providing affordable and accessible public services while acknowledging the hard work and contribution of public servants.

Furthermore, Minister Kiviet urged public servants to maintain their high standards of service delivery, reaffirming the government’s dedication to supporting their professional development through training and capacity-building initiatives.

Public sector unions secure two-year wage agreement

The majority of trade unions representing public sector workers agreed to a two-year wage agreement, which encompassed a 7.5% increase in 2023-24 and an inflation-linked increase in 2024-25, according to a statement issued by the treasury at the time of the settlement last year.

TimesLIVE reported that the government will spend R251 billion in the coming financial year to cover public sector wage increases.

Furthermore, Finance Minister Enoch Godongwana stated: “Spending additions, mainly of the carry-through costs of the 2023/2024 wage increase and wage bill pressures in labor-intensive departments, including basic education, health, and police,” according to TimesLIVE.

Economist calls for discussions on public sector wage bill

According to SABC, addressing the country’s exponential public sector wage bill requires critical discussions around growth and sustainability, according to an economist at the North-West University, Prof. Raymond Parsons.

“Parsons stressed that a budget allocation of 7.5% for the public sector wage bill, from the initially anticipated 1.5%, has not only upset the budget but stressed the need to review the highly excessive remunerations of public servants,” reported SABC.

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