Finance Minister Hints at Phased Salary Review

Finance Minister Neal Rijkenberg has hinted that the long-awaited civil service salary review may be implemented in phases due to budget constraints. The SNAT has criticised the move, insisting on a full 25% salary increase.

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Finance Minister Neal Rijkenberg.
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With just five days to go until the anticipated salary review report is released, Finance Minister Neal Rijkenberg has hinted that government is likely to implement the long-awaited salary review in phases.

Speaking on the Eswatini TV programme Economic View, the minister addressed issues concerning the country’s wage bill.

He highlighted that government had budgeted E500 million in the current financial year for the civil service salary review, but noted that this allocation may not be enough for full implementation.

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Rijkenberg explained that although the consultant has not yet presented the full report, if the recommendations exceed the current budget, the Government Negotiations Team (GNT) would have to negotiate with the unions.

This, he said, was because government would not be able to secure a loan in the current financial year to implement the full salary review.

“Government might have to negotiate with unions to implement it in phases,” he said.

The minister also noted that over the last seven years, government had systematically tried to reduce the wage bill. He pointed out that seven years ago, the wage bill was 42% of government expenditure and had since been reduced to 32%, a 10% reduction.

“We believe it could be 25%, but government has to look after its employees,” he added.

The salary review report was expected to be available by September 1. The Minister of Public Service previously informed Parliament that the exercise might require around E1 billion. The last salary review was conducted in 2016.

In a press statement issued on August 16, Ministry of Public Service Principal Secretary (PS) Mthunzi Shabangu confirmed that the consultant had submitted a draft report in line with the revised timeline agreed upon in a collective agreement signed on July 9, between the GNT and the public sector unions (PSUs).

The salary review exercise, aimed at ensuring fair and competitive compensation for civil servants, was initially commissioned in July 2024 with a 12-month deadline, meaning the report was meant to be completed by June.

In 2022, during the national budget speech, Minister Rijkenberg had announced that government had set aside E15 million for the exercise.

A tender was issued in December 2022, but there was a lack of interest, and government did not receive enough bidders. It was communicated that the only bidder that showed interest was one that had been involved in a previous salary review exercise that left some public service workers worse off.

Government had to re-advertise the tender in 2023, and it was not until last year that a consultant was finally found.


Minister Speaking Out of Turn – SNAT

Swaziland National Association of Teachers (SNAT) Secretary General Lot Vilakati says the minister is speaking out of turn by discussing the matter outside of the official Joint Negotiations Forum (JNF).

Vilakati was responding to the minister’s hint on the phased approach to the salary review.

“We are waiting for the final report to be issued. We do not appreciate what we have noted not only from him, but other Cabinet ministers regarding the salary review. We cannot pre-empt the report. They should refrain from speaking about the report,” he said.

Vilakati was particularly critical of the suggestion of a phased implementation, citing a difficult history with such an approach.

“We are not going to entertain anything besides a 25% increase on salaries and a restructuring of the grades that have been wrongly categorised. We will not entertain anything else,” he stated.

The SG explained that past experiences had left civil servants worse off when salary reviews were implemented in stages, as government had a poor track record of honouring its promises.

“There are still pending allowances that have not been paid from the last review,” he added.

Vilakati also referenced the struggles of junior police officers who were allegedly given the run-around over their Phase II salary restructuring, stating they were “constantly being given cushions.”

He added that after the salary review, PSUs would also be requesting the 8% salary cushion that was recently granted to the armed forces.

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