Question No. 235
Mr NJJ van R Koornhof (Congress of the People) to ask the Minister of Public Enterprises:
(1) Whether there are any guidelines on remuneration packages for the top officials of parastatals; if not, why not;
(2) Whether she will consider appointing a remuneration committee to set guidelines and to make sure that these remuneration packages are more moderate in future; if not, why not; if so, what are the relevant details?
Reply:
1. Yes. The remuneration guidelines were approved by Cabinet in 2007 and apply to both the remuneration of senior executives and non-executive members of the board.
2. The Minister of Public Enterprises is responsible for the appointment of board members and in turn, the board appoints members of board subcommittees as may be necessary including the members of the remuneration committee. The board and the remuneration committee must ensure that the remuneration of executive and non-executive directors is in line with the remuneration guidelines.
Another comparative benchmarking exercise has been conducted to update the guidelines and the report will be presented to the Oversight Committee before being submitted to Cabinet for approval.
Issued by: Department of Public Enterprises
26 October 2009
Source: Department of Public Enterprises (http://www.dpe.gov.za/)
