Phokwane municipality in crisis over manager’s self-approved pay hike

A decision by a municipal manager to give herself a massive salary hike and increased benefits without council authorisation has plunged Phokwane – one of the poorest municipalities in the Northern Cape – into an ethical and political crisis.

Official municipal documents seen by The Citizen show how advocate Matshidiso Mogale, who was appointed to the position two years ago, wrote a letter to the municipal payroll department, instructing staff to increase her package “from midpoint to maximum point”.

The order, which was implemented last month, led to her payment being backdated to October 2017. A memorandum from payroll accountant Charles Domingo to Mogale, dated August 22, reveals that an increase of the municipal manager’s total Word Frequency remuneration package “from midpoint to maximum point” meant a jump from R1 053 519 to R1 169 406.

With backpay of R81 120.90, Mogale’s monthly remuneration package translated to R58 470.30 as salary, a R47 386.04 travel allowance and a remote allowance of R9 306.08.

In a letter explaining the move, following an inquiry by mayor Maria Kalman, corporate services’ Mpho Mojaki said: “The investigation revealed and confirmed that the municipal manager wrote a letter to payroll with a clear instruction that her Word Frequency remuneration package be moved from midpoint to maximum point.

“Payroll implemented the instruction as per municipal manager’s directive. The instruction was implemented on September 21.”

The mayor informed councillors about the increase in the municipal manager’s remuneration package, calling on council “to pronounce itself” on the Mogale matter.

Kalman confirmed the hike, saying “the delegated authority by the council is to monitor the municipal manager in exercising responsibility in terms of the [Municipal Finance Management Act]”.

A majority of ANC and DA councillors who deliberated on the saga resolved to suspend the municipal manager while investigations were under way.

The council decision has thrown the municipality into an ethical and political crisis, with some regional and provincial ANC leaders backing the municipal manager. They are calling for the suspension resolution to be rescinded.

In demonstrating their support for Mogale, several employees have, over the past two weeks, downed tools to push the municipality to reverse its decision.

The strike has affected service delivery in Pampierstad, Hartswater, Jankemp and Ganspan.

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