
Ghost workers thrive while youth struggle for jobs, parliament warns
Chairperson of the portfolio committee on public service and administration, Jan de Villiers. Picture: /@ParliamentofRSA
While thousands of unemployed graduates struggle to enter the public service, parliament has warned that systemic corruption is enabling ghost workers to drain public funds, taking jobs and resources meant for real people.
The chairperson of the portfolio committee on public service and administration, Jan de Villiers, said this during the governance oversight committee's briefing on Monday.
This follows a committee meeting on 28 May to address payroll fraud and youth employment in government.
'Every ghost worker represents a post that could have been filled by a qualified graduate, a dedicated nurse, a teacher in a rural school, or a social worker supporting the vulnerable,' said De Villiers.
Ghost workers are not errors
De Villiers confirmed that ghost workers are not a matter of administrative oversight, but the result of 'deliberate and orchestrated systemic corruption,' requiring collusion between at least three internal officials.
The Department of Public Service and Administration (DPSA) acknowledged to Parliament that ghost employees exist across all three tiers of national, provincial, and local government, as well as in state-owned entities.
In one case, the auditor-general uncovered R6.4 million in fraudulent salary payments at the Mpumalanga Department of Education.
In May 2025, 230 unverifiable employees had their salaries frozen by the Gauteng Department of Health.
'Real people are drawing fraudulent salaries, and real taxpayer money is being siphoned into private pockets under the guise of legitimate employment,' De Villiers said.
ALSO READ: State capture allegations come back to haunt RAF acting CIO
Young professionals sidelined
The committee also flagged serious concerns about youth employment in the public service, especially during Youth Month.
According to the DPSA, youth aged 31 to 35 make up 27% of the workforce, more than 347 000 individuals, with most in finance, admin and technical roles.
Yet many face poor mentorship, lack of formal skills recognition, and limited opportunities for absorption into permanent posts.
'Placements without professional development or recognition are insufficient.
'We must build a future-ready public service,' said De Villiers.
The committee is pushing for early retirement schemes to create space for young professionals, but insists that only transparent, merit-based recruitment will restore trust.
'It is a national imperative to prepare the state for the future,' De Villiers concluded.
NOW READ: SA's shrinking mining sector and the policies that brought us here
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles

IOL News
a day ago
- IOL News
GPAA summoned by Parliament to explain controversial rental agreement
Chairperson of the Portfolio Committee on Public Service and Administration, Jan de Villiers, said the committee will require full disclosure of all documentation and decision-making processes that led to the conclusion of the lease agreement by Government Pension Administrators Agency. Image: Ayanda Ndamane / Independent Newspapers Parliament is set to call on the Government Pension Administration Agency (GPAA) to answer pressing questions regarding the refurbishment of a building for a multimillion-rand office rental agreement. The committee's planned action takes place as ActionSA has formally written to Finance Minister Enoch Godongwana, expressing serious concern over the refurbishment of the building and the office lease agreement entered into by PGAA. The GPAA, which administers funds and schemes for the Government Employees Pension Fund, reportedly paid R270 million to contractors for refurbishing a building linked to a 10-year office lease agreement estimated at R1 billion. Jan de Villiers, chairperson of the Portfolio Committee on Public Service and Administration, said they were concerned over reports alleging several irregularities in an agreement of the GPAA to lease a building for its headquarters for the next 10 years. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ De Villiers said that the contract showed a potential abuse of public funds. He stated that the committee would summon the GPAA to appear before it and provide details regarding the circumstances surrounding the contract. 'The committee will require full disclosure of all documentation and decision-making processes that led to the conclusion of the agreement,' said De Villiers. The committee welcomed Godongwana's decision to launch an investigation into the contract and that they will closely monitor its progress. De Villiers said every effort to ensure complete transparency and accountability should be welcomed. 'The allegations are extremely serious. It points to potential financial misconduct and a possible breach of fiduciary duties to pensioners and the public. As a committee, we must ensure accountability and prevent any recurrence.' De Villiers said should any fraud or criminal conduct be uncovered, appropriate remedial action, including referrals to law enforcement bodies, should be taken. ActionSA parliamentary leader Athol Trollip said the contracts raised serious questions about governance, accountability, and oversight within the body entrusted with safeguarding the pension savings of thousands of public servants. 'Government employees deserve confidence that their retirement savings are managed with the utmost integrity and prudence. Allegations of irregular and unauthorised spending erode this trust and cannot be ignored,' he said. Trollip also said ActionSA has given Godongwana seven calendar days to provide a full and transparent explanation on the matter. 'Failure to do so will leave us no choice but to escalate this matter in Parliament and to appropriate oversight bodies,' he said. Meanwhile, the GPAA said the report on which the media report was based came when the matter was a subject of an audit process that was under way. 'We reiterate that our process to procure the services mentioned was fair, transparent, and competitive.'


Daily Maverick
01-08-2025
- Daily Maverick
Emfuleni crisis highlights local government debt as Treasury cracks the whip
The closure of the Emfuleni Local Municipality offices due to unpaid rent highlights the local government debt crisis, something Treasury hopes to fix by withholding grants from defaulting municipalities. Residents of Emfuleni were unable to make payments or lodge enquiries at the municipality's Vanderbijlpark offices this week after they were locked due to the failure to pay the monthly R6.4-million rent. According to the DA's Emfuleni caucus leader, Duncan Mthembu, this is a 'powerful symbol' of a nationwide crisis of municipal dysfunction and ballooning debt. Freedom Front Plus Councillor Hein van der Lith said the property owner had closed the building, which has more than 100 offices, twice previously this year and three times in 2024. He said the closure follows a recent recommendation from the Gauteng Legislature's Committee on Cooperative Governance and Traditional Affairs (Cogta) to place the troubled municipality under administration. Emfuleni was recently identified by Finance Minister Enoch Godongwana as one of 39 municipalities that have persistently failed to pay water boards and other parties such as pension funds, medical aids, SARS, the Auditor-General, and continues to adopt unfunded budgets. The minister said he would suspend all grants to the 39 municipalities for the rest of the financial year due to their ongoing failures. The DA's Mthembu said the closure of the Emfuleni offices meant 'residents have been left confused and stuck on how to proceed in getting assistance with payments and enquiries'. Emfuleni is located in Gauteng and comprises areas such as Vanderbijlpark. Mthembu said this was 'nothing more but an abject failure in governance, and something as simple as communication. The municipality could not even inform residents of their offices' closure.' Account attached Emfuleni's problems have been compounded by Rand Water's decision to attach the municipality's bank account due to its R1.7-billion unpaid debt. Emfuleni Municipality spokesperson Makhosonke Sangweni denied that the municipality had failed to honour its payment agreement with Rand Water, describing it as 'arbitrary'. Emfuleni Finance MMC Hassan Mako said, 'The municipality is unable to access its bank account because Rand Water has attached the account, and this situation has persisted for two months.' He said the municipality had considered taking the matter to court, but the mayor refused. Mako said the municipality had formed a special purpose vehicle (SPV) with Rand Water that would manage the water and sanitation services. 'However, Rand Water seems to be more focused on delaying the launch process by continuously attaching the municipality's accounts,' said Mako. 'The SPV project requires R1.3-billion, while Rand Water is owed R1.7-billion. Nevertheless, the municipality has committed to servicing the debt in tranches so that other service providers can be paid,' said Mako. Describing the impact of having its bank account attached, Mako said, 'There is no diesel to pick up refuse. Contractors that were assisting us with cleaning illegal dumps are not paid and have left the sites. When offices are closed, it means workers are paid salaries for doing nothing, and municipal infrastructure projects are suffering.' Emfuleni also owes Eskom R8.5-billion as at the end of June 2025. 'We believe the municipality is being held ransom by Rand Water, which negatively impacts service delivery. As a collective, we urge the mayor to lead by allowing this matter to be resolved in court in the best interest of service delivery,' Mako added. Emfuleni's municipal debt came under the spotlight in a letter from Godongwana to Cogta Minister Velenkosini Hlabisa on the ongoing crisis in municipalities. Gondongwana cracks whip on debt-ridden municipalities At the end of June, Godongwana informed Hlabisa that he would invoke Section 216(2) of the Constitution against the 39 most dysfunctional municipalities for 'persistent non-compliance'. This section allows the National Treasury to stop the transfer of funds to an organ of state if it commits a 'serious or persistent material breach' of measures designed to ensure transparency and expenditure control. According to Godongwana, Treasury has outlined a strict mechanism to force compliance: if any of the 18 defaulting municipalities fail to provide proof of full payment to their respective water boards within seven days of the 30 June letter, their Local Government Equitable Share (LGES) will be stopped. This withheld equitable share will only be released in portions, with stringent conditions. The first portion must be strictly used to pay current water board accounts, with proof of payment required, before a second amount is released for arrears owed under a valid repayment arrangement. According to the letter from Godongwana, if these conditions were not met, or if evidence of payments to institutions such as SARS, pension funds and other statutory third parties is not submitted, Treasury would approach Parliament to endorse the stopping of all LGES transfers for the rest of the 2025/26 municipal financial year. Municipal financial years run from 1 July to 30 June. Treasury also plans to withhold conditional infrastructure transfers. 'It is advisable that, parallel to the LGES withholding process, Rand Water, Vaal Central, Lepelle Northern, and Magalies Water enforce their credit control policies to also attach the bank accounts of the defaulting municipalities to enforce a change in behaviour of these municipalities. The same applies to all the water boards, in order to avoid a similar situation and prevent escalating debt across water boards,' said Godongwana. Earlier this year, Hlabisa told Daily Maverick the national government was sending a message to municipalities that 'it is time to pay'. During his 2025 departmental budget vote debate speech, the Cogta minister said: 'We have concurred with Treasury to compel the payments for water boards and Eskom, and pay pension and medical aid contributions to third parties. Notably, the same principle will have to apply to all government departments who owe municipalities, they must be compelled to pay what is due to municipalities.' Municipalities across the country owe Eskom almost R110-billion. Writing in Business Live, Municipal IQ managing director Kevin Allan said the local government debt crisis was caused by poor governance, a lack of oversight, and weak administrative capacity. 'The suspension of grants, therefore, represents the Treasury's move from carrot to stick. But this approach is not without risk. Service interruptions, project delays and cash flow constraints may follow in affected municipalities. Residents could bear the brunt of deteriorating services, and protest action may escalate,' said Allan. He described Treasury's decision as 'both bold and necessary'. 'The stakes are enormous. Without intervention, the escalating debt spiral could not only collapse local government, but destabilise national service delivery and weaken the country's fiscal standing,' Allan continued. 'Above all, municipalities must get back to basics. They must adopt funded budgets, bill accurately, collect revenue diligently and prioritise creditor payments. Professionalising financial management, insulating administration from politics and enforcing accountability are not optional – they are essential. DM

IOL News
27-07-2025
- IOL News
Why some public servants wish to continue beyond retirement age
According to the Department of Public Service and Administration, the current mandatory retirement age for public servants is 65. Image: landsmann/ SOUTH African public servants facing mandatory retirement at 65, share their experiences and desires to continue working and the challenges posed by financial insecurity. According to the Department of Public Service and Administration (DPSA), the current mandatory retirement age for public servants is 65. 'In terms of the Public Service Act, 1994 (PSA), the normal retirement age of employees is 65 years, and such employees will, on retirement, retire with no pension penalties. Although employees from the ages of 55 to 60 years may retire from the public service, such retirement may be subject to penalties to their pension,' stated in the DPSA retirement document. However, with the rising cost of living and tough economy, many individuals said they would prefer to continue working if it meant getting a stable income or just continuing their passion. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading Jason Ramcharan, a welder from Pinetown, retired at 65-years-old. He always wished that he could continue working as he loved his job and felt he was competent enough to continue working. 'I always loved working as a welder, it was my passion. When I finished school, my father asked me what I wanted to study and I said I wanted to get into a trade. While my siblings studied to become teachers, I started an apprenticeship in welding. I never regretted my choice because even though it was hard work, it was exciting and motivating,' he said. Ramcharan, now 68 years old, said he possessed all the knowledge to help others but had to sadly end his welding journey due to the retirement age. 'I was good at my job and because I have so many years of experience under my belt, the job is second nature for me. I was proficient at my trade and had no issues. Sadly, retirement ended my career. 'To be a welder, one has to learn all the time and have a sharp mind – the ability to think on the spot. If I had the opportunity, I would definitely go back to work. A lot of people said the work was strenuous and difficult, especially with age. But for people like myself, we know what it takes to get the job done. My passion drove me. 'I have years of experience and knowledge that could still be used in the industry. Sadly, 65 crept up faster that I knew. I think it would have been great if the retirement age could be amended. It would allow some of us to continue working and sharing our experience a little longer. Well, that's provided we are physically and mentally fit," added Ramcharan. Daniela Govender from Chatsworth, was a pre-school teacher and retired two years ago when she turned 65. 'Initially I wanted to retire at 60 but my husband had taken forced early retirement at 50-years-old. We decided that I should continue working for as long as I could. I loved being a teacher. It was always my dream but sometimes the school environment could be tough and today's children are less well-behaved. However, the income and benefits from being a teacher was great, so I continued teaching until 65.' The now 67-year-old said for the first few months before her retirement she was stressed and worried about the financial implications of her not working. 'At times I even feared signing my retirement papers because it felt so final. The reality is that I would not get my salary every month. Medical aid was our top priority. Fortunately, the government still pays half of the premium each month. Knowing that I was not going to get a fixed monthly income made my stress over the rand and cents. I had to tighten our purse strings. 'Even though we had saved money for our retirement, our lifestyle has changed. Sometimes we feel that my pension income is not going to be enough. I think that stems from my husband retiring early. The funds that he had did not last long and currently there is not a lot of money left. We have children but we don't want to be a burden to anyone. 'I feel that if I was allowed to retire later, we would have been able to save more money to make us comfortable. More especially, I loved being a teacher. In the teaching profession, the older you are, the more knowledge you have. Ultimately it helps the pupils in the long run. We have a lot of experience and we could also guide the younger teachers,' said Govender. THE POST