Home | News | TAXPAYERS’ E2M FOR EX-DPM’S BENEFITS

TAXPAYERS’ E2M FOR EX-DPM’S BENEFITS

Font size: Decrease font Enlarge font

MBABANE – It would take 21 years for a teacher to earn the value of benefits awarded to the ex-DPM, Paul Dlamini.


The ex-DPM was procured a new vehicle by the Central Transport Administration (CTA) worth E1 727 858.80 and he received E833 724 as gratuity upon exiting office. For these benefits alone, the taxpayer forked out E2 561 582.80.
To accumulate what Dlamini received upon exiting office, an ordinary teacher, with a diploma in primary teaching, would have to work 256 months which is about 21 years and three months.


The teacher would have to earn approximately E10 000 and not pay the pay-as-you-earn (PAYE) tax.
Meanwhile, on top of the exit benefits, the ex-DPM earns a monthly salary of E55 581.60 following his exit from office. This amount, according to Finance Circular No.2 of 2013, has been paid to the ex-DPM since his retirement from office, with effect from the day he vacated office.


It is equal to 80 per cent of the monthly basic salary Dlamini enjoyed while still in office. “Such pension benefit (is) to be increased annually in line with approved civil service salary adjustments,” reads the circular in part.
On the other hand the exit packages enjoyed by the ex-ministers would take the teacher used as an example above 154 months, which is about 13 years to accumulate.


This is because the ex-ministers took home vehicles that were bought at E800 000 and further received gratuity worth E741 095.04. This means their benefits are to the tune of E1 541 095.04.
Worth noting, government said the vehicles were depreciating at 20 per cent annually – which is why when they left office they took them home without paying a cent.


This was despite that the ministers had for sometime used government vehicles (Chevrolet Trailblazers) for a better part of their term as they complained that the BMW X5s were not good for unpaved roads.
However, the other government fleet is auctioned to the public when the CTA has concluded that they had exhausted their lifespan.
To this, human rights lawyer, Sibusiso Nhlabatsi said government should either pay the Executive gratuity or offer them vehicles when they exit office. He said it was unfair to the taxpayer who had to fund a lifestyle of opulence to the politicians while they were living below the poverty line.


“A total review has to be implemented as this is not fair to the people – who are funding a lifestyle of opulence while they can’t support their lifestyle.”
Meanwhile, the 20 members of the Executive, who are Prime Minister Ambrose Mandvulo Dlamini, Deputy Prime Minister Themba Nhlanganiso Masuku and 18 ministers, are still beneficiaries of Finance Circular No.2 of 2013.
This circular was implemented when members of the 10th Parliament took office. It stipulates that the taxpayer foots the bill for the politicians five-year stay in office, pays them gratuity when they exit office and also offers them vehicles.
However, this circular is under review; as the Phil Mnisi-led Royal Commission was, about year ago, assigned to review the terms and conditions for politicians.


In the about 11 months they have been in office, consulting on the pay structure that shall be accorded to the 11th Parliament, nothing has come forward and to date, the 2013 circular is still being used to remunerate the current politicians.
Provides
This circular provides that politicians upon exiting office, should be paid the ex-gratia.
The ex-gratia payment is a grant that is payable to former parliamentarians to assist with the costs of adjusting to non-parliamentary life.
The ex-gratia payment is available to all parliamentarians who fail to be re-elected or re-appointed into the new Parliament.
“The ex-gratia will be paid as once-off payment equal to 12 months (one year) basic salary before taxation for all parliamentarians.”

Comments (0 posted):

Post your comment comment

Please enter the code you see in the image:

: EMPLOYMENT GRANT
Should government pay E1 500 unemployment grant?