Parly committee backs payroll reform measures

The Parliamentary Portfolio Committee on Public Service has welcomed allocations to support the modernisation of government’s payroll system.

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Parliament’s Portfolio Committee on Public Service has stated it supports government’s pronouncements on payroll reform measures that put technology at the forefront.

This, after National Treasury said it will allocate funds to modernise government’s payroll system and implement a national e-government procurement platform.

The portfolio committee conducts oversight of the Department of Public Service and Administration (DPSA) to ensure an efficient, professional and ethical public sector.

The committee believes the efforts, including the ghost worker audit that’s underway, will support efforts to build a professional, capable and ethical state.

Committee chairperson Jan de Villiers says: “These allocations for payroll modernisation and the national e-government procurement platform represent important progress towards a more digitised and transparent public administration.”

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South Africa’s public service accounts for 1.3 million of the country’s labour force, as per data from the DPSA.

The state’s human resource management practices and processes have been described as fragmented and characterised by a lack of digital solutions.

This often results in manipulation by bad actors, leading to financial losses and reputational damage. Some government departments and state entities have been subject to ‘ghost workers’, which are non-existent civil servants who are pulling a salary.

To root out the problem of ghost workers, the DPSA and other entities are engaged in a ghost worker audit to identify and remove non-existent or ineligible individuals.

So far, the preliminary results of verification processes have identified 4 323 high-risk cases of possible payroll system fraud in national and provincial departments.

The committee has welcomed the updates and efforts aimed at strengthening the public service.

“The committee has consistently called for accountability and investigations into ghost employees, as we consider this a critical step towards restoring public confidence in financial management in the public service,” comments De Villiers.

“We have also been clear about the need for evidence of results, including the number of ghost employees identified and removed, the monies recovered and the number of prosecutions. While the committee is encouraged by the number of ghost workers identified, we call for consequences where wrongdoing has been confirmed, which must include prosecutions and successful convictions.”

The committee has urged relevant departments, such as National Treasury and the DPSA, to heed the urgency of the verification process. “The integrity of the public service is foundational to constitutional governance, and verification and decisive action in this regard cannot be delayed.”

Any weaknesses in payroll controls have significant fiscal implications, states De Villiers.

“The committee therefore calls for detailed breakdowns of the 4 323 high-risk cases, including departmental and provincial distribution, and the financial exposure associated with each category. Employees who cannot be verified must be dealt with swiftly and in accordance with due process.”