[LISTEN] Senzo Mchunu explains plans to reduce public sector wage bill

Minister of Public Services and Administration Senzo Mchunu has reiterated that his department is not making it compulsory for public servants to retire early as the government forges ahead with plans to tackle what has been described as an unsustainable public sector wage bill.

Recently his department said it would try to encourage early retirement by topping up pension funds for those who take the package.

Mchunu says they are not faced with a bloated public sector and the bill is rather higher. He says various ways have been brought forward as to how they will deal with it.

The minister says the department has taken a broad approach to the matter.

You have to look at the cost of running public administration in the country and you have to do it via a number of ways.

Senzo Mchunu, Minister of Public services and Administration

Number one - look at reconfiguring or phasing out some public entities. Number two - we are saying there is a lot of costs we are incurring in terms of managing workers that go on leave because of various health-related problems; we have to review that. Three - if you look at health alone, it is amassing a lot of costs as a result if litigation, which can be avoided.

Senzo Mchunu, Minister of Public services and Administration

All we are doing is to say if you choose, what we will do as government is protect you from loss of your pension that you would have lost as a result of early retirement, you will get it.

Senzo Mchunu, Minister of Public services and Administration

RELATED: 'There is no law that compels early retirement'

We are not making it compulsory that if you are 55 or whatever you must go. We are saying opt out so that in the process we are able to revamp.

Senzo Mchunu, Minister of Public services and Administration

The main thing really is not bloatedness but it is optimal use of public servants where they are most needed, skilling them such that they are productive and introduction of ITC

Senzo Mchunu, Minister of Public services and Administration

Click on the link below to hear more from Mchunu...


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