Minister of Public Service and Administration (incl NSG, PSC & CPSI)

Salutations     

Honourable House Chairperson;

Deputy Minister for the Public Service and Administration, Hon. Pinky Kekana, MP; Ministers and Deputy Ministers;
Honourable Members of Parliament, in particular the Chairperson and Members of the Portfolio Committee on Public Service and Administration;
Fellow South Africans;

National Unity and Renewal   Honourable House Chairperson,

I am tabling the budgets for the Department of Public Service and Administration [Vote 11], for the National School of Government,[Vote11] and [for the Public Service Commission, Vote 12] respectively.

During the State of the Nation Address (SONA) earlier this year, President Ramaphosa quoted the words of our late former President Nelson Mandela as he voted in 1994 and said:

“This is the beginning of a new era. We have moved from an era of pessimism, division, limited opportunities, turmoil and conflict. We are starting a new era of hope, reconciliation and nation building.”

Honourable Chairperson, I am privileged and deeply honoured that the President and the people of South Africa have entrusted me to lead this department to drive the reforms and improvements that will be pivotal in realising the goal of “Rebuilding Public Trust in a Purpose-Driven Public Service.”

Professionalisation of the Public Sector        

A professional, ethical and capable public service must be responsive and meet the expectations of our people in this new era.
Our approach to the professionalisation of the public service does not simply mean the accumulation of qualifications by public servants, but a public service that delivers quality services.
It means to serve the people of this country with a renewed sense of pride and respect for their work. For us as public servants, we understand that our work is not about just pursuing a career but it is a response to the highest calling to serve. And to serve them in a spirit of ubuntu.

It is for this reason, that we have identified priorities to improve in the following areas:

1. Improving trust in government and government services, by decisively dealing with corruption and corrupt officials. We will swiftly act against those abusing the state.
2. Improving discipline management to ensure that disciplinary processes are completed timeously; It is unacceptable that senior management within departments are on lengthy suspensions at the cost of the taxpayer, while sitting at home and litigating their way through the system.
3. Lifestyle audits must be conducted across the board when the system is abused for personal and selfish gain.
4. Modernising our service delivery monitoring systems to ensure that complaints are handled efficiently. We need a government wide system that will identify gaps where departments are lagging behind, and reward departments that are efficiently working.
5. Modernisation of public services through the digitisation and use of Information Communication Technology (ICT) innovations, including eRecruitment, HR Management and delivery of government services.
6. Partnering with organised labour to ensure that the collective bargaining system works for improving the needs of public servants and government services.
7. Improving the health and welfare of public servants by ensuring their wellbeing including on matters of mental health.

Honourable Members, we are convinced that by targeting the above-mentioned areas, we can build a professional public service driven by a strong sense of purpose and professional commitment.
Lapho khona izisebenzi ezifana nothisha, zihlonishwa njengesibani sezwe, amaphoyisa njegabakhuseli bethu kanye nabasebenzi bezempilo bedunyiswa njengabahlengi bemiphefumulo yethu.
South Africans deserve a public service that is professional, functional and driven by a deep sense of commitment to the greater good.
Like I’ve said before, this department is actually to the country what the heart is to the body. It is essential, life sustaining and central to the overall functioning of our government.
Department of Public Service and Administration     

Honourable House Chairperson,

One of the key achievements of the department was the tabling of the Public Service Amendment Bill and the Public Administration Management Amendment Bill in Parliament in March 2023.
These legislative reforms aim to enhance the professionalisation of the public sector and address longstanding challenges.
We have and will continue to implement measures to drive cost-effective operations, prudently manage the public sector wage bill, and realise greater value for money in the delivery of public services.
The implementation of the Operations Management Framework (OMF), the Business Process Modernisation Programme (BPMP), and the Organisational Functionality Assessment (OFA) directive - have all played a crucial role in enhancing the efficiency and effectiveness of the public service.
Honourable Members, the department has also played a vital role in strengthening international cooperation and stakeholder relations.
We have been the focal point for the African Peer Review Mechanism (APRM) and the Open Government Partnership (OGP), ensuring that South Africa remains at the forefront of   good   governance   and   public   participation   domestically and continentally.

We are therefore pleased to announce that the Department will be hosting an engagement in the second quarter funded by partners to consolidate the transformation of employee health and wellness within the public service.
For the first time, traditional healers will be invited to share their views on how we manage indaba yokuthwasa namandlozi in the public service - as we comprehensively deal with temporary incapacity and improve leave management.

On the DPSA Budget:

The Department has an allocated joint budget of over Five Hundred and Thirty Million. Which we share with the CPSI for the in the 2024/2025 financial year.
With regards to the Centre for Public Service Innovation the Deputy Minister, Honourable Pinky Kekana will provide more detail and she will also share developments on the Government Employee Medical Scheme and the Government Employee Housing Scheme.
It is rather unfortunate that we experienced some significant budget cuts in the past financial year, which have slowed down some of our programmes, and have resulted in a combined cut of over 120 posts within the DPSA.
Office of the Public Service Commission (OPSC)    

Honourable Members, the Public Service Commission (PSC) stands as a critical institution in the vision of rebuilding public trust in a purpose-driven public service.
The PSC has been at the forefront of strengthening the integrity, efficiency and responsiveness of our public administration.
A key milestone in this endeavour was the tabling of the PSC Bill in Parliament in September last year.
This Bill seeks to enhance the Commission's oversight role and expand its mandate to state-owned entities and local government, empowering the commission to ensure accountability and ethical conduct across the entire public sector.

Through a collaborative approach that brings together all three spheres of government, the commission has developed a comprehensive Process Road Map to guide the rollout of this transformative framework.
In recognising that a values-driven culture is essential for good governance, the PSC has intensified its advocacy work to promote Constitutional Values and Principles.
The PSC has developed a comprehensive Guide to support whistleblowers, as they play a crucial role in exposing corruption and safeguarding the public interest.
Honourable House Chairperson, the work of the Public Service Commission stands as an example of the progress we have made in building a public service that is responsive, accountable and committed to the people.
I therefore wish to table the budget allocation for the 2024/25 financial year of the PSC, which amounts to R288.5 million

National School of Government        

Honourable Chairperson, the National School of Government (NSG) has a critical role to play in supporting the vision of the department.

By expanding its’ mandate to encompass all spheres of government, the NSG helps cultivate professional public servants who are not only technically competent but also imbued with the values and principles of Batho Pele and the Constitution.

Through targeted interventions, the NSG will strengthen the capabilities of public sector leaders in the areas of political leadership, economic governance, strategic oversight, and administrative excellence.

This will equip them to address the unique challenges faced by a government of national unity, where diverse political ideologies and manifestos must be reconciled for the common good of the people.

Therefore, Honourable Members, I extend an invitation to you all to join me in signing up for a course at the NSG, so that we too as the members can experience first-hand the work of the school.

Through forging partnerships with the private sector, industry, and civil society, the NSG develops innovative learning pathways that address systemic challenges and unlock new opportunities for service delivery improvement.

As we professionalise the public service, the work anchored in the NSG will see this school become a world-class academy that will shape and mould the future of patriotic technocrats.

I am pleased to announce that the NSG, together with other partners such as the Presidency, Department of Monitorining and Evaluation and the University of Johannesburg, will be hosting a conference at the end of this month themed: "Three Decades of Democracy in South Africa: A Critical Reflection and Social Dialogue towards Social, Economic and Global Transformation."

I am confident that by working hand-in-hand we can make significant strides in rebuilding public trust and delivering the responsive, professional public service that all South Africans rightfully deserve.

On the Budget for the NSG
The budget allocated to the NSG is R218,7 million, of which R107,9 million is transferred to the NSG Training Trading Account.

Chairperson,

In October 2024, we are expecting more than 6900 global and local participants at the International Conference on Theory and Practice of Electronic Governance (ICEGOV), from academia, governments, international organisations, civil society, and industry.

It is humbling to stand before you today to deliver my maiden speech as the Deputy Minister of the Department of Public Service and Administration (DPSA).
President Ramaphosa stated in his inauguration speech,
“Now is the time to move forward. Together, we will do more and better.
Now is the time to assemble all our capabilities and to direct all our energies to answer the call of the people of South Africa.
We dare not linger, we dare not rest, until we have created jobs for those who need them;
until there is enough food on every table;
until every person in every town, city, village and farm receives the basic services they need for a decent life.”
This was a direct call by our President to all public servants – we need to answer H.E call, assuredly and without reservation as we enter this 7^th administration.
NOW is the time, indeed!

Honourable House Chairperson,
Professionalising public administration is one of the key imperatives for building a Capable State, and as the DPSA we have a strategic intent to optimise Batho Pele to normalise efficient service delivery.

As the Honourable Minister emphasised at our recent DPSA Exco meeting, “We cannot afford to drop the ball”, "we need to get it right the first time". And so we begin this administration with clear marching orders.
By professionalising public service, Government can improve the quality of education, social services, housing, access to healthcare, transport, labour and actually all areas of public service. This not only improves the quality of life for our people, but it potentially reduces legal actions and claims, which will have a positive impact on government spending and cost to tax payers, while simultaneously reducing the pressure on already limited resources.
Very importantly, professionalising public service results in higher staff morale, which leads to increased productivity and improved performance outputs.
And so, Honourable Members,
I now have the distinct honour of presenting to you the budget for the Department of Public Service and Administration, following on from the Honourable Minister.
I beseech your attention for the report on the Centre for Public Service Innovation (CPSI) for the 2024/25 financial year, on the performance of the Government Medical Aid Scheme (GEMS), and the Government Employee Housing Scheme (GEHS).

I am proud to report on the remarkable work by the Centre for Public Service Innovation (CPSI) who have maintained a clean-audit track record for the 6^th consecutive year, and 7^th year overall.
This impressive feat speaks directly to professionalising public service through governance compliance, rigorous financial management, and robust accountability measures that have been institutionalized.
One of the major steps taken by the CPSI in this regard was to in- source system developers, thereby accelerating capacity to deliver on its mandate. This empowered the Centre to enter into strategic partnerships like with the Eastern Cape government for example, where we are co-designing innovative solutions by enabling the sharing of software codes.
Another partnership example is the collaboration with the Northern Cape Office of the Premier, to develop a Virtual Thusong Service Centre, purported to immensely improve community access and service delivery standards.
The Gauteng Emergency Medical Services (EMS) is probably one of the most successful partnership showcases in the co-developed Sedibeng District’s “Patient Transfer Management System”, currently being piloted. Early indicators point to the potential for efficiency and quality of healthcare services, in streamlining the management of planned patient transfers.
Honourable Members,

The CPSI spearheaded the 'Let's Talk' citizen engagement app, developed by young innovator Moepi Setona, which facilitates two- way communication between citizens and representatives, enabling optimised service delivery and public engagement.
For the next financial year, the 46-Million-Rand budget will be allocated to continued research; development of innovative solutions; increasing capacity by hiring more system developers; and supporting the advancement of digital skills among the youth.
We will continue with Design Thinking workshops, 4IR EXPOs, and the annual Public Sector Innovation Conference, Hackathon and Awards Program, which are all platforms for young developers to showcase innovation, and address real-world challenges.
These initiatives not only promote STEM education and nurture young talent, but demonstrates our commitment to transforming public service, while also raising the South African flag across the world, because our solutions to our problems could also solve many other nation’s problems.
On that note, Honourable House Chairperson,
Please join me in congratulating the Centre for Public Service and Innovation and the Western Cape Provincial Government for winning the UN Public Service Award at the UN Public Service Forum held recently in Korea.

The “Citizen-centric Digital Transformation” award in the innovation category was for a digitalised government to resolve multiple challenges, enabling public administration to better respond to community needs.

Honourable Members,
As the largest closed medical Scheme in South Africa, GEMS is also the fastest-growing medical Scheme.
By 31 December 2023, the Scheme had 844,791 registered principal members and covered over 2.27 million beneficiaries, which translates to 3.4% of the South African population and 22% of the entire medical scheme market. In 2023, GEMS reached a record 2.27 million beneficiaries - a 5.8% increase year-on-year.
GEMS demonstrated exceptional financial stewardship, with an impressive 94% of claims paid over the past 5 years, translating to materially lower costs for members, making quality healthcare more accessible and affordable, AND a 25% average cost advantage over comparable medical schemes.
Most impressive of all though is GEMS' focus on cost containment. The scheme's non-healthcare expenditure, such as administration costs, are lower than both restricted and open medical schemes.

GEMS manages its finances prudently, evidenced in the net healthcare deficit of R3.8 billion, of which R2.5 billion had been budgeted for, leaving an unbudgeted deficit of R1.3 billion.
The Scheme however was able to partially offset this deficit through investment income of R2.4 billion - which exceeded the budgeted investment income of R1.6 billion, by R762 million.
This resulted in an overall net deficit of R725 million, which was better than the budgeted net deficit of R916 million.
GEMS aims to pursue strategic partnerships in pursuit of Universal Health Coverage fully supporting the National Health Insurance Policy (NHI).
In collaboration with the Public Service Coordinating Bargaining Council (PSCBC), in 2017, GEMS transformed its Sapphire option into the Tanzanite-One option, offering private hospitalization while still maintaining affordability and efficiency.
We now believe that the Tanzanite-One option could be an effective template for the NHI benefits package.
From our Tanzanite-One learnings, GEMS is poised to contribute meaningfully to the successful implementation of the NHI policy, and remain committed to collaborating with the Department of Health to ensure that all citizens have equal access to quality, affordable healthcare.
 

The Scheme also expanded the eligibility criteria, on-boarding new groups such as the Independent Electoral Commission (IEC), Special Investigation Unit (SIU), Umalusi, and Legal Aid, amongst others.
Since 2020, GEMS and DPSA have partnered to increase the reach of GEMS Health and Wellness Screening Services for public servants, enabling preventative care and effective resource allocation, while ensuring high-risk members receive the necessary care and support.
Honourable Members,
Since 2015, the Government Employees Housing Scheme (GEHS) has assisted government employees in accessing affordable and decent housing.
The GEHS, through the Individual-Linked Savings Facility (ILSF), facilitated a savings culture among public servants. As of March 2024, R23.9 billion has been saved in the ILSF by approximately 800,872 eligible employees.
However, the scheme also had to address the issue of R700 million forfeited by employees who did not adhere to the housing allowance regulations, showcasing the GEHS's proficient stewardship of public resources.
Beyond the housing allowance, the GEHS established a call-centre to provide much-needed education and support for both employees and HR practitioners, with 612,900 government employees now registered with the GEHS system.

The GEHS has efficiently managed the housing allowance benefit that grew from R900.00 in 2015 to R1,691.38 as of March 2024, however, the scheme still faces the challenge of 193,521 eligible public servants who have not yet accessed this critical housing benefit.
We therefore call on Honourable Members to help spread the message for employees to enrol for this benefit.
The GEHS has also been proactive in transitioning employees from the old housing allowance system to the new one, reducing the number of employees from 44,530 in 2015 to just 3,368 as of March 2024.
Also, by more than doubling the number of homeowner beneficiaries from 352,103 in 2015 to 800,872 in March 2024, the GEHS has played a pivotal role in public servants achieving their home-ownership dreams.
The GEHS has also forged crucial partnerships with GEPF/PIC and SA Home Loans to facilitate home loan access and signing an MoU with the NHFC to provide First Home Finance grants.
Honourable House Chairperson & Honourable Members
This year is the 10^th anniversary of the launch of the first Urban Mall Thusong Service Centre at Maponya Mall by then Minister Collins Chabane in honour of Public Service Month held annually in September.

I think of Minister Chabane and whether he would be as proud today of the Thusong Service Centres all across South Africa, as he was at the launch, because as the DPSA that is what our role is – to ensure that public service is optimised.
The progress we highlighted today across the CPSI, GEMS, and GEHS demonstrate our commitment to “Rebuilding Public Trust through professionalising Public Service”.
Together, let us forge ahead, driven by our shared vision of a public service that is responsive, innovative, and dedicated to the well-being of all South Africans.

Kea leboha I thank You