Authorities has drafted an early retirement supply for civil servants, a part of an effort to scale back South Africa’s public sector wage invoice, in response to folks accustomed to the matter.
State employees aged between 55 and 60 could possibly be supplied two weeks’ pay for yearly they’ve labored as much as a most of 20 years, and one week’s pay for yearly they’ve been employed after that, stated the folks, who requested to not be recognized as the data is non-public.
Any penalties normally incurred by these taking early retirement will doubtless be waived, they stated.
Nationwide treasury is in a “closed interval” till after the presentation of the annual finances on Wednesday and didn’t instantly reply to questions.
If adopted, the early retirement plan could be out there over the subsequent two years and about 30 000 folks might take up the packages, the folks stated. Precedence might be given to purposes from employees at authorities departments confronting extra extreme budgetary pressures, they added.
Any supply might be tabled on the Public Sector Bargaining Council Chamber, the folks stated. In October final yr, nationwide treasury stated it was setting apart R11-billion to fund early retirement, with extra particulars be launched within the finances.
Learn: South Africa to roll out digital IDs – what to anticipate
The federal government’s wage invoice accounts for greater than a 3rd of its complete expenditure, crowding out spending on different priorities. Earlier early retirement gives had restricted take-up. — Loni Prinsloo and Antony Sguazzin, with Ntando Thukwana, (c) 2025 Bloomberg LP
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