Cape Town - Ceilings were being set for salaries of
municipal managers, Deputy Co-operative Governance Minister of Yunus Carrim
said on Tuesday.
He said his department was working with the SA Local
Government Association and the Treasury to help municipalities use their money
"productively and effectively".
"We are setting ceilings for paid remuneration and
conditions of municipal managers," Carrim told reporters.
It was, however, "unconstitutional" for national
government to prescribe "an exact amount" of remuneration for a
"What we are seeking is to provide guidelines which
will say for example that depending on the number of residents in the
municipality, this is the budget you have and these are the guidelines we give
you. You can then provide a ceiling and monitor."
Carrim said there had been consensus with unions, among
others, on municipal remuneration regulations.
His department was also seeking to set minimum
qualifications for senior managers, such as experience, expertise and technical
According to the Democratic Alliance, 56 municipal managers
were paid performance bonuses in the last financial year despite presiding over
poor municipal performance.
"In total, R249m (including performance bonuses) was
paid to municipal managers last year," the DA said in an analysis based on
figures released by the Treasury.
It found that 56 municipalities awarded their municipal
managers performance bonuses, even though they received negative audit outcomes
for poor financial management.
In all but three of these municipalities the Chief Financial
Officers (CFOs) were awarded performance bonuses as well.
Of the 283 municipalities in the country, a majority 147 of
them received negative audit outcomes. The other 136 received positive audit
Of the 147 municipalities with negative outcomes, 56 paid
performance bonuses averaging R98,000 for each municipal manager.
These non-performing municipal managers earned on average a
total income of R1m each. The CFOs of these failing municipalities were
paid on average R80 000 in performance bonuses as well, the party said.