R81 million set aside to pay MPs and cabinet ministers exit gratuities.

By Lehlohonolo Lehana.

Millions of rands has been set aside to pay outgoing members of Parliament (MPs) and Cabinet ministers for their loss-of-office gratuities.

This is a result of MPs opting for retirement,while others are set to lose their jobs due to their parties losing seats in National Assembly.

The Sunday Times,reports R81 million set aside for 143 MPs and cabinet ministers who will not return to parliament to receive out-of-office gratuities.

Police Minister Bheki Cele, Social Development Minister Lindiwe Zulu, Employment and Labour Minister Thulas Nxesi, Minister in the Presidency responsible for Women, Youth and Persons with Disabilities Nkosazana Dlamini-Zuma, Minister of Public Service and Administration Noxolo Kiviet, Minister of Defence and Military Veterans Thandi Modise and International Relations Minister Naledi Pandor are among those who are not coming back.

This comes after the African National Congress (ANC) lost 71 seats in a dismal election performance.

The ANC has always polled above 50% since the country’s first democratic elections in 1994, which saw Nelson Mandela become president.

But support for the party has been dropping significantly because of anger over high levels of corruption, unemployment and crime.

According to Parliament’s spokesperson Moloto Mothapo, the loss-of-office benefits will be pulled from the National Treasury’s national revenue fund.

“The gratuity is a direct charge against the national revenue fund. The total number [of MPs to be paid] is not yet determined,” Mothapo said.

The publication said that those who have been in parliament since 1994 will do the best financially, as their loss-of-office tip will be in addition to their pension benefits and other post-retirement perks, including medical aid and free flights.

The loss-of-office tip equates to four months’ pensionable salary for every term concluded by a minister, deputy minister or MP.

All members who served for more than one term in office, or more than five years, if their service started between two elections, will also receive an additional gratuity amount.

Pandor is set to earn at least R5.2 million in loss-of-office compensation when considering her R2.6 million annual salary.

Acting Speaker of the National Assembly Lechesa Tsenoli is also set to earn at least R4.4 million, double his current salary of R2.2 million per year.

However, there may be a lifeline for certain government officials who are losing their seats: the President is allowed to appoint at least two ministers or deputies from outside the National Assembly.

Under South Africa’s proportional voting system, parties’ shares of the vote determine the number of seats they get in the National Assembly, which then elects the next president.

With the ANC still on course to be the largest party, that is likely to be its leader Cyril Ramaphosa, the incumbent.

However, a poor showing could make him vulnerable to a leadership challenge from within party ranks, whether in the immediate future or at some point during his term.

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