Municipality owes Eskom five billion rand – but gave its officials a R400,000 pay increase

Dalphine Tagwireyi

While the Emalahleni Municipality in Mpumalanga owes Eskom R5 billion, six of its officials have each given themselves pay increases of R400,000 a year.

The Municipal Manager, Chief Financial Officer, Directors for Technical Services, Corporate Services, Development, and Environment all received the increases without applying the correct procedures.

The irregularities date back to the 2017/2018 financial year, when the officials were all awarded the maximum salaries for a category 6 municipality.

The municipality is in contravention of the notice of upper limits for remuneration of senior managers. 

The notice to a municipal council in exceptional circumstances to apply for the maximum salary bracket, but only after consulting with the MEC for Cooperative Governance and Traditional Affairs (CoGTA), and applying in writing to the Minister.

CoGTA spokesperson in the province, Lindiwe Msibi, told Scrolla.Africa that there was no evidence in their records that suggest that the municipality applied to the department minister to sign off for the pay increases.

Msibi added that an investigation team has been appointed to investigate the allegations.

“The department will allow the legal processes to play out and those recommendations will be implemented in order to recover what the municipality has lost, either from their current income or pensions,” she said.

DA MP Sonja Boshoff said that it was shocking that one of the worst performing municipalities in the country saw fit to approve the enormous pay packages.

“This expenditure could have gone a long way to assist in alleviating lives and livelihoods of the poor and assist in settling the R5 billion Eskom debt,” she said.

She added that the Mpumalanga MEC for CoGTA Busisiwe Shiba should be held to account, including the councillors who approved the irregular pay rises as they were aware that they were in contravention of the notice.

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