Govt austerity measures tightened

Public servants will have to look at further curtailing expenditure and from today (Thursday) follow new cost containment measures as per instruction from the Provincial Treasury.
One of the issues discussed during the Provincial Executive Committee meeting last Wednesday was cost containment measures as per instruction from the National Treasury and guidelines set by the Provincial Treasury to contain costs and eliminate all non-essential expenditures.
Head of Provincial Treasury Gavin Pratt in an exclusive interview on Tuesday told Polokwane Observer that the department has not yet received the final Cost Containment Framework from the National Treasury, but will implement the draft measures from 1 September.
“Our biggest saving will result from cost of employees savings and cuts in the costs of consultants,” he said “The province has lost around
2 000 employees as a result of deaths, resignations and retirements. The problem is that the cost of salaries also increases.” Treasury must approve all new appointments in the province before someone is appointed. Consultants may only be contracted after a gap analysis has confirmed that the requisite skills or resources are not to be found in the department, and Treasury approval will be needed to appoint consultants.
Limits are set on official trips, size of cars hired and purchased, fuel claims, meal allowances, the class travelled in when flying and marketing costs for departments. Overseas trips will only be approved by Premier Stan Mathabatha. Pratt said the province, not having an abundance of hotel groups, will struggle to keep to the cost containment measures relating to accommodation. On a national level discount deals have been made with air flight operators and hotel chains and other accommodation providers. Pratt said bed and breakfast tariffs in the province may prove to be a problem, but public servants will have to keep to the prescribed tariffs. Catering for official events is limited to R100 per day per person for morning tea, lunch and afternoon tea included. These may only be provided for meetings with external stakeholders and if the meeting is longer than five hours.
With regard to strategic planning sessions of departments, only one session per annum may be held outside government buildings, except where departments can deliver proof that no other state building has the required facilities for the session. Pratt said there are departments that have large auditoriums and board rooms, although it may not suffice. Treasury will investigate the conversion of a conference facility at the Polokwane Gateway Airport for conferences and planning sessions too. All board meetings and internal meetings must be held in government buildings unless where evidence exists that government buildings were not available. Promotional items such as T-shirts, caps and bags may only procured for implementation of projects and programmes approved in the Annual Performance Plans.
Advertising of vacancies in printed media will be placed through bulk advertisements and be limited to a synopsis of the post. Detailed job specifications will be placed on the institution’s website. All-inclusive limits have also been placed on cell phones and 3G gadgets.
The cost containment measures will apply to all departments and public entities. Non-compliance with the instruction note will be viewed as incurring irregular expenditure, which is regarded as financial misconduct and the expenditure may be recovered from employees or non-employees found liable in law for incurring irregular expenses.
According to Pratt the department will monitor the measures on a monthly basis.

Story and photo: NELIE ERASMUS
>>nelie.observer@gmail.com

Featured photo: Gavin Pratt, Head of Provincial Treasury.