Home News Civil servants decry tax increase on new salaries
News

Civil servants decry tax increase on new salaries

Share
Principal Secretary (PS) in the Ministry of Public Service Mthunzi Shabangu receiving the 444-page Pre-Final Draft Report of the Salary Review Exercise from the Salary Review Consultant’s local partner Umelusi, represented by Siphephiso Dlamini in this file picture.
Share

MBABANE – Some civil servants are decrying that their improved salaries under the new government salary review have not brought the relief they expected, with many saying tax deductions have swallowed up much of the increase.

Public sector employees across various ministries have expressed disappointment after receiving their October remuneration, stating that the much-anticipated adjustments reflected minimal take-home pay. The review, which came into effect this month, was intended to cushion workers against the rising cost of living and align salaries with prevailing economic conditions.

However, several civil servants have expressed that the difference between their old and new salaries was far less than they had anticipated.

According to information gathered by this publication, the increases have pushed some workers into higher tax brackets under the pay-as-you-earn (PAYE) system administered by the Eswatini Revenue Service (ERS). This means that as their gross income rises, the percentage of tax payable also increases, thereby reducing their disposable income.

Public Sector Unions (PSUs) have confirmed receiving similar concerns from their members. A representative from one major union said they were compiling reports from affected employees and intend to engage government on the issue.

“We are not ungrateful for the increase, but the workers’ frustration is understandable,” the unionist said. “We want to discuss whether the Ministry of Finance can consider revising tax bands or introducing relief measures to ensure the salary review meets its intended purpose.”

The Swaziland National Association of Teachers (SNAT) Secretary General, Lot Vilakati, said government had informed them that there was a possibility of miscalculations.

“Some people claim to have been charged more tax than required, while others claim to have been taxed twice,” he said.

Vilakati added that this demonstrated that there was still much to be discussed at the Joint Negotiation Table (JNT). He explained that some grievances stemmed from reports that certain civil servants had been taxed on both their back pay and their reviewed salary, even though the back pay was expected to be taxed next year when they receive the remaining percentage of the salary review.

Civil servants received 15 per cent of their salary review on October 26, 2025 (Monday) as per a signed agreement, while the remaining 85 per cent is expected to be paid in July 2026.

He said most complaints were based on government placing some employees in higher tax brackets.

“They lament that the money remitted to them after tax was smaller than expected,” said Vilakati.

He stressed the importance of returning to the negotiation table so that government could clarify how tax calculations were conducted for the various grades.

“Government will further explain some of these issues, as we are not content with the current situation. You may find that there are concerns, yet there is a justification for how the calculations were made,” he said.

Full article available in our publication.

SNAT Secretary General Lot Vilakati (R) addressing PSUs GC members on behalf of the Secretariat during a meeting at SNAT Centre recently. (Pic: File)
SNAT Secretary General Lot Vilakati (R) addressing PSUs GC members on behalf of the Secretariat during a meeting at SNAT Centre recently. (Pic: File)

Share

Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Don't Miss

FNB probe uncovers E20m fraud syndicate

BY MBONGISENI NDZIMANDZE AND KWANELE DLAMINI MBABANE – Investigations into the alleged fraud committed at FNB Eswatini have uncovered a syndicate involving businessmen,...

Home Affairs official fired in insurance scam as…

... man declared dead while alive MBABANE – A living man was declared dead after a Home Affairs official issued a death certificate...

Butsegetsege set to light up Eswatini for Kagogo Weekend

MBABANE — Excitement has reached a fever pitch across the kingdom as viral cultural sensation Mavusane Cyzweh, widely known as Butsegetsege, officially confirms...

Royal Swazi Reopening in sight

MBABANE- What has seemed like an eternity, the Royal Swazi Hotel could finally be opening its doors before the end of the year....

CBE deploys senior executive for EswatiniBank turnaround

MBABANE – Central Bank of Eswatini (CBE) Chief Operations Officer Mfan’fikile Dlamini has been seconded to EswatiniBank for up to 12 months to...

Related Articles

Bunye Betfu Co-op’s E19m missing

MANZINI – Bunye Betfu Buhle Betfu Savings and Credit Co-operative a scheme...

St Mark’s alumni raise E40k in 10 minutes

EZULWINI – St Mark’s alumni raised E40 000 in under 10 minutes...

Eswatini now imports building blocks

MBABANE – The construction industry and the entire economy of the country...

Seven vie for one position in Manzini by-elections

MANZINI - Seven people have been nominated to contest for one vacant...