Gauteng recovers more than R40 million in staff debt

More than R40 million in staff debt was recovered from Gauteng Provincial Government employees in the 2012/13 financial year alone.

This is an indication that measures introduced to address staff debt in the provincial government are indeed bearing fruit, and a clear path is emerging that this collection rate will improve further in future.

Plans developed to improve employee debt are part of a comprehensive strategy of the Gauteng Department of Finance and the Gauteng Provincial Treasury to work with other departments in the province to efficiently manage the human capital and maximise production.

In this regard we have taken specific measures informed by relevant legislation such as the Public Finance Management Act to strengthen internal controls. That is why there were no staff loan debts taken on in the period under review. In fact departments are not offering loans to staff members.

Therefore it is important to point out that a sizeable staff debt owed is related to bursaries in cases where employees have left their respective departments or in those situations where they did not complete their studies. That is why the Human Resource Management Units and the Offices of the Chief Financial Officers work closely to monitor employee debt on a monthly basis to ensure that all monies due to government are collected accordingly.

With regards to resignations, we have rolled out the Automated Termination System to effectively manage employee exist and avoid unnecessary employee debts.

The provincial government is committed to effectively manage staff debts as prescribed by legislation. This is important because it is part of action plans that contribute towards prudent management of public resources.

That is why our position is that if there are funds owing to the state; effective measures must be taken to recover the debt, and the money collected utilised to resource the strategic outcomes of government aimed at providing quality public services to the people of Gauteng.

For more information, please contact:
John Sukazi, Spokesperson (MEC for Finance)
Cell: 083 772 4885
E-mail: john.sukazi@gauteng.gov.za

Province

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