Today's Labour News

newsThis news aggregator site highlights South African labour news from a wide range of internet and print sources. Each posting has a synopsis of the source article, together with a link or reference to the original. Postings cover the range of labour related matters from industrial relations to generalist human resources.

mboweniBL Premium reports that finance minister Tito Mboweni has put an end to business class flights, expensive cars, free booze and year-end parties for mayors and all municipal officials and politicians.  

In regulations gazetted last week, Mboweni set out new "cost containment" measures that will apply to all municipal officials and political office-bearers and all municipal entities.  The measures are extensive and cover every area of "nonservice delivery" expenditure, from the hiring of consultants to expenditure on cars and travel.  In a press statement accompanying the regulations, the Treasury said despite attempts over the past 16 years to enforce greater financial prudence "municipalities and municipal entities continue to spend public funds on nonpriority items,” which results in a diversion of public funds from core service delivery to other areas.  The regulations make it compulsory for every municipality to draw up a cost containment plan, which has to be displayed on its website.  There are a raft of rules on the appointment of consultants and measures to ensure their fees do not get out of hand due to hidden escalations or travel and subsistence costs.  Officials and office-bearers must use the municipal fleet, rather than hired vehicles.  End-of-year parties, social events, team-building exercises and budget vote dinners paid for by the municipality or municipal entities are banned.  No official or public representative may be issued with a credit card linked to municipal accounts.

  • Read the full original of Carol Paton’s report on the above at BusinessLive (paywall access only)

Get other news reports at the SA Labour News home page