The Herald (South Africa)

Metro to halt ‘mistaken’ pay

Managers overpaid by R40m over three years

- Rochelle de Kock dekockr@avusa.co.za

THE salaries of 70 senior managers in the Nelson Mandela Bay Municipali­ty who have been mistakenly overpaid by more than R40-million over the past three years will be slashed this month.

This comes after the SA Local Government Bargaining Council (SALGBC) in February ruled in favour of the municipali­ty, which allowed acting municipal manager Themba Hani to correct overpaymen­ts to the staff.

Hani gave the go- ahead last month for the corporate services department to correct the overpaymen­ts, which have cost ratepayers about R500 000 a month.

The directors and assistant directors were mistakenly included in the implementa­tion of pay parity for municipal staff from Uitenhage and Despatch in 2010, backdated to July 2009.

This was after the staff from Uitenhage and Despatch complained they were being paid less than their Port Elizabeth counterpar­ts with similar job descriptio­ns, following the formation of the Nelson Mandela Bay metro in 2000.

Senior managers were not necessaril­y eligible for the allowance and it is believed they “jumped on the bandwagon” and had their salaries inflated, according to a human resources report presented at a committee meeting in July.

Some are being overpaid by as much as R20 000 each per month. Hani on August 31 instructed the executive director of corporate services to “please effect the management team decision of April 10 2012 immediatel­y and report monthly in writing”.

He was responding to a letter from the then acting executive director, Ayanda Ngcebetsha, who

‘ The correction­s will be reflected on September’s payslips

wanted an instructio­n on the way forward.

The management team decision of April 10 stated “that the acting municipal manager implement steps to correct overpaymen­ts to the affected directors and assistant directors in respect of pay parity”.

In July, councillor­s at a human resources portfolio committee meeting heard that the overpaymen­ts were not corrected despite an instructio­n from former acting municipal manager Elias Ntoba that the correction­s be implemente­d by July last year.

The implementa­tion of the correction­s was stalled after the directors and assistant directors lodged a dispute with the CCMA. Their dispute was based on their interpreta­tion of the pay parity agreement, as well as the change to the terms and conditions of employment.

The CCMA ruled in favour of the municipali­ty and the affected staff did not indicate if they would call for a review of the case. According to Ngcebetsha’s letter to Hani, which The Herald has seen, the municipali­ty’s legal advisers do not believe that the staff have demonstrat­ed sufficient grounds to prevent the enforcemen­t of the SALGBC’s decision.

Acting executive director for corporate services Roslyn van Greunen confirmed yesterday that Hani had instructed that the pay parity correction­s be made.

“The correction­s will be reflected on the September payslips. At this stage, the implementa­tion specifical­ly deals with the correcting of the overpaymen­ts to affected directors and assistant directors and not the recovery thereof,” she said.

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