ATC221020: Budgetary Review and Recommendations Report (BRRR) Of the Portfolio Committee on Public Service and Administration: Vote 14 of Statistics South Africa 2021/2022, Dated 19 October 2021

Public Service and Administration

Budgetary Review and Recommendations Report (BRRR) Of the Portfolio Committee on Public Service and Administration: Vote 14 of Statistics South Africa 2021/2022, Dated 19 October 2021

 

  1. BACKGROUND

The Portfolio Committee on Public Service and Administration (hereinafter referred to as the Portfolio Committee) having considered the directive of the National Assembly, which is in line with Section 5 of the Money Bills Amendment Procedures and Related Matters Act, No. 9 of 2009 to consider and report on the Annual Report of the Statistics South Africa on 11 October 2022. It should be noted that Statistics South Africa operates independently from the Executive. The BRR Report is tabled as follows:

  1. INTRODUCTION

Parliament derives its mandate from the Constitution of the Republic of South Africa. The strategic objectives of the Portfolio Committee are informed by five strategic goals of Parliament. The functions of the Portfolio Committee on Public Service and Administration are as follows:

  • Participating and providing strategic direction in the development of the legislation and thereafter passing the laws.
  • Conducting oversight over the Executive to ensure accountability to the Portfolio Committee towards achieving an effective, efficient, developmental and professional public service.
  • Conducting public participation and engaging citizens regularly with the aim to strengthen service delivery; oversee and review all matters of public interest relating to the public sector.
  • Monitoring the financial and non-financial aspects of departments and their entities and ensuring regular reporting to the Committee, within the scope of accountability and transparency.
  • Supporting and ensuring the implementation of the PSC recommendations in the entire public service.
  • Participating in the international treaties which impact on the work of the Committee.

 

  1. PURPOSE OF THE BUDGETARY REVIEW AND RECOMMENDATIONS REPORT

Section 5 of the Money Bills Amendment Procedures and Related Matters Act, No. 9 of 2009 the National Assembly, through its Committees, must annually compile Budgetary Review and Recommendations reports (BRRR) that assesses service delivery and financial performance of departments and may make recommendations on forward use of resources. The BRRR is also a source document for the Committees on Appropriations when considering and making recommendations on the Medium Term.

Moreover, the Money Bills Amendment Procedures and Related Matters Act, section 5 (3) highlights focus areas on the budgetary review and recommendation report as:

  • Providing an assessment of the department’s service delivery performance given available resources.
  • Providing an assessment of the effectiveness and efficiency of the departments use and forward allocation of available resources; and
  • Including recommendations on the forward use of resources.

 

3.1 Method

The Portfolio Committee on Public Service and Administration compiled the 2021/22 BRRR using the following documents:

  • The National Development Plan: Vision for 2030.
  • Medium Term Strategic Framework 2019-2024.
  • State of the Nation Address 2021.
  • Strategic Plans of the Statistics South Africa 2019-2024.
  • National Treasury (2021) 4th Quarter Expenditure Report 2021/22 Financial Year
  • Annual Performance Plans 2021/22 of the Statistics South Africa.
  • Annual Report 2021/22 of the Statistics South Africa.
  • Auditor-General South Africa’s outcomes of audit findings 2021/22.
  • The Portfolio Committee met with the leadership and management of the Statistics of South Africa

 

  1. NATIONAL DEVELOPMENT PLAN VISION 2030

The National Development Plan highlights the need for South Africa to build a State that is capable of playing a developmental and transformative role. This requires the State to formulate and implement policies that support that role. The NDP and the Medium Term Strategic Framework are informed by statistical information provided by Statistics South Africa, which publishes more than 200 statistical releases per year. The publications present statistical research that measures the development and transformation of the economy and society in a range of context.

Changing economic and societal realities have expanded the demand for statistical information: more detailed statistics are needed and more frequently if policies are to be responsive and effective. Statistics in the public domain must be of high quality. Responding to the increased demand for high quality statistics will require a national effort, and collaboration and partnerships between the producers and the users of statistics.

  1. MANDATE OF THE STATISTICS SOUTH AFRICA

Statistics South Africa is a national government department accountable to the Minister in the Presidency: Planning, Monitoring and Evaluation. The department’s activities are regulated by the Statistics Act (1999), which mandates the department to advance the production, dissemination, use and coordination of official and other statistics to assist organs of state, businesses, other organisations and the public planning, monitoring and decision making. The Act also requires that the department coordinate statistical production among organs of state in line with the purpose of official statistics and statistical principles.

However, there is a legislation reform on the cards for the institution. This legislative reform will inform the full planning cycle of government, from planning to evaluation, including the implementation of the Spatial Data Infrastructure Act. Stats SA has started the legislative review process.

 

  1. STRATEGIC PRIORITIES

Statistics South Africa aims to contribute towards realisation of the ideals of the National Development Plan (NDP) by providing accurate data policy implementation to overcome social challenges such as inequality, poverty and unemployment. Stats SA works in conjunction with all stakeholders in the country to provide accurate statistical information on economic, demographic, social and environmental factors for proper NDP implementation. The institution has identified the following strategic priorities, which are:

  1. To promote and inform the nation through an expansion of statistical products and services.
  2. To increase statistical trust through sound quality principles that are in line with international standards. This will ensure that users of statistics products have confidence and trust official statistics.
  3. To promote partners in statistics, international cooperation and participation in statistics.
  4. To invest in the learning and capable organisation.
  5. To promote statistical leadership through investment in schools and tertiary programmes to increase statistical skills at grass roots level.

 

Key priorities for 2021/22 financial year are outlined below:

  • Driving legislative reform.
  • Sustaining the quality of national indicators.
  • Conducting 2022 Census.
  • Driving a transformative and change agenda.

                                                                      

  1. DEPARTMENT PROGRAMME PERFORMANCE

7.1 Statistics South Africa

7.1.1 Budget Allocated and Expenditure 2021/22

The budget appropriated to Statistics South Africa for the 2021/22 financial year was R4 932 billion included the allocation earmarked for the Census 2022 R2 530 billion. The actual expenditure was R4 648 billion for all the programmes which is an estimated of 94.3% of the total allocated budget. The underspending relates mainly to compensation of employees due to the placement of excess staff from household surveys as a result of the digitalisation of data collection in the department.  

The Department commenced the financial year with fruitless and wasteful expenditure cases to the value of R12.5 million. Three new cases amounting to R1.197 million were registered. There are 96 registered cases to the value of R13.7 million under investigation and three credit notes to the value of R3 thousand were received. The Department started the financial year with irregular expenditure cases to the value of R415.8 million. Four new cases of non-compliance with supply chain management prescripts and six new cases of non-compliance with human resources requirements were registered. There are no authorised expenditure incurred during the 2020/21 and 2021/22 financial year. Stats SA has achieved 89% of its targets as set out in the Annual Performance Plan.

Human capital remains the most valuable asset in Stats SA. In order to achieve organisational strategic objectives. Stats SA has an establishment of 3 313 permanent posts of which 2 674 are filled consisting of 2 630 permanent staff members, two staff members on fixed-term contract and 42 employees on short-term contracts. The 75.2% of SMS posts are filled and consist of 58.4% males and 41.6% females. 1.2% employees constitute staff members with disabilities. The vacancy rate as at March 2022 was at 19.3%.

Table 1: Expenditure per programme (R’000)

2021/22

 

2020/21

Programme 

 

Final

Appropriation R’000

Actual Expenditure R’000

(Over)/Under Expenditure R’000

Final

Appropriation

R’000

Actual Expenditure R’000

Over)/Under Expenditure R’000

Administration

728 182

690 922

37 260

714 607

708 534

6 073

Economic Statistics

285 291

281 760

3 531

264 656

263 580

1 076

Population and Social Statistics

153 476

131 450

22 026

112 139

111 648

491

Methodology and Statistical Infrastructure

141 236

131 639

9 597

132 218

130 554

1 664

Statistical Support and Informatics

312 726

291 168

21 558

301 297

285 928

15 369

Statistical Operational and Provincial Coordination

3 272 787

3 094 888

177 899

1 577 914

1 163 688

414 226

SANSS

37 942

26 489

11 453

28 742

27 382

1 360

TOTAL

4 931 640

4 648 315

283 325

3 131 573

2 691 314

440 259

Source: Stats SA (2022)

 

7.2 Programme Performance

Statistic South Africa has seven programmes, namely:

  1.  Programme 1: Administration

The purpose of the programme is to provide strategic leadership, management and services to the department. The Administration programme has four sub-programmes, which are as follows namely, Department Management, Corporate Services, Financial Management Services, Internal Audit and Office Accommodation. The strategic intention of the programme is focused on driving the outcome of transformed capability. The programme will align itself to the strategy of digitisation through automation of processes. The provision of support to projects, including the Census 2022 project, will utilise all facets of automated processes. The project faced numerous challenges related to recruitment in many local areas and logistical challenges primarily around availability of vehicles.

The programme has achieved 31.8% of its annual targets as scheduled in the Work Programme and 68.2% were not achieved. The programme has spent R690.9 million of the allocated funds. Of the total expenditure, an amount of R225.2 million was spent on compensation of employees, whilst an amount of R190.3 million was spent on goods and services. The amount spent on good and services includes an amount of R103.297 million that was spent on operating leases and R48.8 million on property payments. An amount of R274.9 million was spent on building and other fixed structures relating to the ISIbalo House unitary fee payments. The programme spent 94.9% of its allocated budget.  

The Census 2022 appointment of 84% youth contract. Human resource support was provided to the Census through the recruitment 111 937 fieldworker supervisors and fieldworkers. The process is ongoing with the extension of the Census Project to the 2022/23 financial year. A skills development plan aligned to the new strategy was not compiled due to Census priority. A total of 84% youth were appointed for census data collection activities in the 2021/22 financial year.

Approximately 60% of the targets not achieved relate to the Census 2022 project which was extended to the 2022/23 financial year. Additional funding has been received in the 2022/23 budget allocation to facilitate recruitment aligned to employment equity targets. Funding has been prioritised towards business transformation and change.

  1. Programme 2: Economic Statistics

Economics Statistics programme aims to produce economic statistics to inform evidence-based economic development and transformation in line with internationally recognised practices. Programme Management for Economic Statistics provides strategic direction and leadership. There are six sub-programmes, which are as follows: Business Cycle Indicators, Structural Industry Statistics, Price Statistics, Private Sector Financial Statistics, Government Financial Statistics and National Accounts.

The objectives of the programme is to produce economic indicators to inform evidence-based planning, monitoring, evaluation and decision making for use by the public and private sectors by publishing monthly, quarterly, annual and periodic statistical releases on various industries in the private and public sectors.

The programme has achieved 99.1% of its annual targets as at March 2022 of which 94.4% were achieved as scheduled. The programme has spent R281.7 million of the allocated funds. Of the total expenditure, an amount of R264.9 million was spent on compensation of employees, whilst an amount of R15.7 million was spent on goods and services items such as communication (R3.4 million), travel and subsistence (R6.6 million) and operating payments (R3.2 million). The programme spent 98.8% of its allocated budget. 

Key achievements included monthly, quarterly and annual releases on the economy. The programme informed economic planning, monitoring and decision-making by providing accurate, relevant and timely statistical information on the level of economic activity in relation to the primary, secondary and tertiary sectors of the economy, financial information on private sector businesses and government and information on sustainable resource use and management.

Additionally, the programme provides information on the level of inflation by producing the consumer price index and various producer price indices. Thus measuring changes in the prices of a basket of goods and services purchased by South African households and prices of a basket of commodities at producer level each month. Key outputs included 48 published releases consisting of monthly CPI and PPI releases and a reweighted CPI. 

  1. Programme 3: Population and Social Statistics

 The purpose of the Programme is to produce population, demographic, labour market and social statistics to inform socio-economic development. Population and social statistics inform evidence based socio-economic development and transformation in line with internationally recognised practices. Programme 3 contributes to strategic objective to sustain national population and social indicators to inform evidence-based planning, monitoring and decision-making for use by the public and private sector through publishing numerous series such as labour market and employment surveys.

The outputs produced under this Programme contribute immensely towards the monitoring of the MTSF 2020-2024, the National Development Plan goals and indicators, Agenda 2063 as well as the Sustainable Development Goals.

Stats SA achieved 92.9% of its annual targets as at March 2022, of which 37.5% were achieved as scheduled. The programme has spent R131.4 million of its allocated budget. Of the total expenditure, an amount of R109.6 million was spent on compensation of employees, whilst an amount of R19.2 million was spent on goods and services such as travel and subsistence and operating payments. The programme spent 85.6% of its allocated budget.

Key output for the year under review included signing-off of statistical releases and reports, monitoring the implementation of the population and social statistics strategy, and maintaining relations with key partners in the national statistics system. The programme contributed to informing social and economic development planning, monitoring and decision-making by providing relevant, timely and accurate statistics information on living conditions, population dynamics, vital events, employment, crime and poverty levels.  

The programme provides information on employment levels in the formal, non-agriculture sector as well as labour market trends in the country. The programme published documents consisting of quarterly releases on employment and earnings and labour market information, an annual report on labour market statistics and a report on child labour. Furthermore, published reports on national poverty lines for 2021 and subjective poverty based on the GHS 2019. An additional report on measuring food security in South Africa was published. 

 

 

  1. Programme 4: Methodology, Standards and Research

 The purpose of the Programme is to set standards, statistical frames, methodologies and conduct statistical research. The main objective of the Programme is to improve the quality and methodological soundness of statistical information by researching, developing, reviewing and applying statistical methods, standards, classification and procedures in the statistical value chain annually. The Programme further monitors and evaluates the methodological compliance of statistical operations by conducting independent evaluations on statistical practices annually. In addition, it ensures complete and accurate sampling frames to enhance the quality of economic and social statistics by maintaining and updating frames for business and geographic information annually

The programme has achieved 83.3% of annual targets as at 31 March 2022 and 16.7% targets were not achieved. The programme contribute in providing technical expertise on methodological practices for producing official statistics in the economic and social statistics. The programme has spent R131.6 million of the budget allocated. Of the total expenditure, an amount of R125.9 million was spent on compensation of employees, whilst an amount of R4.8 million was spent on goods and services. The main cost drivers are computer services, households and communication. The programme spent 93.2% of its allocated budget.

Amongst key achievement in the year under review include the developments of standards, statistical frames and methodologies and monitoring the implementation of the Work Programme. The programme contributed towards achieving the organisational strategic outcomes of agile operating model and interconnected statistical systems. The key deliverables are essential and critical elements that form the support system and foundation of core statistical products.

Furthermore, the programme provides technical expertise and advice on statistical methodologies and practices for producing official statistics. This include preparations for the Post-enumeration Survey and providing methodological expertise in the production of economic and population and social statistics.  Another output in the programme include provision of sampling frame for household survey and censuses and provides geospatial information and analysis and spatial tools. Furthermore, monitors the quality of field operations of household surveys and censuses and conducts independent evaluations. 

  1. Programme 5: Statistical Support and Informatics

This Programme enables service delivery programmes by using technology in the production and use of official statistics. The main objective is to modernise business processes by building enterprise architecture and applying emerging technologies for data collection, processing and the dissemination of statistical information over the medium term. The Programme further aims to enable the department’s production of official statistics by providing a technology infrastructure that is reliable, sustainable and cost effective over the medium term to inform policy through the use of statistical geography.

The Programme promotes and provides better access to official statistics. The Programme contributes to enhancing public confidence and trust in statistics and investing in the learning and growth of the organisation. Moreover, the Programme collaborates with partners to build and maintain a reliable sampling frame for household surveys by updating the spatial information frame annually. In addition, it increases awareness of and the use of official statistics by government and the public on an ongoing basis by reaching out to stakeholders and responding to user queries, educating users and improving accessibility to and the ease of use of statistical information.

Programme 5 achieved 50% of annual targets and 50% were not achieved. The programme has spent R291.2 million of the allocated budget. Of the total expenditure, an amount of R139.8 million was spent on compensation of employees, whilst an amount of R119.5 million was spend on goods and services. The programme spent 93.1% of the allocated budget.

The programme contributed in managing internal and external communications in the department and increase the use of statistical information through stakeholder engagement and the dissemination of official statistics on various platforms. Key output included a report on Phase I of the reengineering of Stats SA’s website and communication and marketing support to planning for the Census 2022. Due to the extension of the Census project, support will continue in 2022/23 financial year.          

The programme further provides technology infrastructure to the department and supports data management across statistical series. A key output was a report on the maintenance of Census 2022 ICT infrastructure and platforms. An ICT environment upgrade was not completed as scheduled due to external stakeholder consultation and four reports on governance and security awareness were not compiled due to Census priority. The programme further provides integrative statistical advice and support to policy planners and development practitioners and participates in knowledge research and innovation on key development themes. Key output include two research reports on spatial analysis. 

  1. Programme 6: Statistical Operations and Provincial Coordination

The purpose of the Programme is to collect and process data and interact with stakeholders and users at provincial and local levels to inform policy implementation and support decision-making through statistical information. It engages stakeholders through platforms and provides effective communication services.

The main objective is to provide integrated data collection services, and disseminate quality statistics to provincial and local stakeholders and the public by ensuring an average response rate of 85 per cent annually. Another objective is to expand the statistical information base for use by government, the private sector and the public by conducting a population census every 10 years, and large-scale population surveys every five years between censuses. It further ensures the efficiency and effectiveness of survey operations by coordinating household surveys to attain an average response rate of 85 per cent annually. The Programme improves the quality and timeliness of the editing and processing of statistical data by administering a common data processing platform for censuses, household surveys, administrative records and ad hoc survey data over the medium term.

Statistical Operations and Provincial Coordination achieved 58.3% of annual targets as at March 2022 and 41.7% were not achieved. The non-achievement of targets can be attributed to the postponement of the Census project into the 2022/23 financial year, mainly due to recruitment and logistical challenges. The programme spent R3.095 billion of the allocated budget. Of the total expenditure, an amount of R781.3 million was spent on compensation of employees, whilst an amount of R2.086 billion was spent on goods and services items such as agency and support services, computer services, travel and subsistence and minor assets. The programme has spent 94.6% of its allocated budget. 

The programme provides integrated data collection and dissemination services, and promotes the use and coordination of official statistics to provincial and local stakeholders. A key output includes a proposal to streamline integrated fieldwork operations, nine reports on Census Pilot data collection in the provinces. Census 2022 field reports were not compiled due to the extension of the Census project to the 2022/23 financial year.

The programme manages the editing and processing of census, survey and administration data. This include a report on business processes tested and a report on the processing of Census Pilot data. The programme conducts periodic population censuses and large-scale population surveys and coordinates and integrated collection activities across households’ surveys. This include a debriefing report on the Census Pilot and a national report on digital data collection for household survey.

  1. Programme 7: South African National Statistics System

The purpose of the Programme is to develop and coordinate the national system in South Africa. The objective of the Programme is to ensure that national statistics are produced based on common statistical standards and principles by providing statistical support and advice on an ongoing basis, and certifying statistics as official annually. It manages the distribution of statistical information by establishing and providing mechanisms, platforms and criteria for sharing data annually. It drives statistical reporting by coordinating the compilation of statistical reports in line with the integrated indicator framework annually.

Stats SA has achieved 100% of the targets of the Annual Performance Plan. The programme has spent R26 489 million of the allocated funds. Of the expenditure, an amount R23 448 million was spent on compensation of employees, whilst an amount of R2 499 million was spent on goods and services items such as communication, travel and subsistence and computer services. The programme spent 69.8% of its allocated budget.

The programme coordinates the production of population and social statistics in the national statistics system and provides statistical support and advice to producers of official statistics. Key outputs includes a clearance report for the Department of Science and Innovation’s 2019 Research and Development Survey, a report on the reviewed Integrated Indicator Framework, an MoU with the Companies and Intellectual Property Commission (CIPC) and a sector plan on agricultural statistics.

The programme further conducts independent statistical reviews to assess the quality of statistical information in line with the South African Statistical Quality Assessment Framework, to certify statistics as official. Key output included a SASQAF quality assessment report for Financial Statistics on Higher Education release and a report on the piloting of SASQAF edition 3 version 2. The programme was responsible for the report on the legislative reform process. 

  1. AUDITOR-GENERAL OUTCOMES

The Auditor-General has audited the financial statements of the Statistics South Africa, set out on pages 152 to 222, which comprise appropriation statement, the statement of financial position as at 31 March 2022. The statement of financial performance, statement of changes in net assets and cash flow for the year ended as well as the notes to the financial statements including a summary of significant accounting policies. The Auditor General opinion indicates financial statements are present fairly, in all material respects, the financial position of Statistics South Africa and its financial performance and cash flows for the year are in accordance with the Modified Cash Standard and the requirement of the PFMA.

Statistics South Africa received an unqualified opinion.

8.1 Predetermined objectives

The Auditor-General performed procedures to determine whether the reported performance information was properly presented and whether performance was consistent with the approved performance planning documents.  The AG did not identify any material findings on the usefulness and reliability of the reported performance information on programme 3- Population and social statistics and Programme 6-Statistical operations and provincial coordination.

8.2 Emphasis of matters

The AG draw attention to the matters below.

8.2.1 Underspending of the vote

As disclosed in the appropriation statement, the department materially underspent the budget by R283 million on all programmes combined.

8.2.2 Irregular expenditure

The Department incurred irregular expenditure of R235 534 million in the current year, mainly emanating from non-compliance with supply chain management prescripts.

8.4 Internal Control

The Auditor-General considered internal control relevant to the audit of the financial statement, reported performance information and compliance with applicable legislation, however, the AG objective was not to express any form of assurance on it. The matters reported are limited to the significant internal control deficiencies that resulted in the findings on compliance with legislation.

 

The oversight by the accounting officer regarding the financial statements process was ineffective as material misstatements were identified. The oversight process must be enhanced to ensure credible financial statements are submitted for audit. Compliance monitoring by senior management mainly relating to supply chain management prescripts were not effective due to a lack of adequate oversight in non-compliance. The accounting officer needs to develop and implement an action plan in order to ensure that the deficiencies identified in the current year are addressed. 

 

  1. OBSERVATIONS AND KEY FINDINGS

The Portfolio Committee made the following observations:

  1. The Portfolio Committee commends Statistics South Africa for receiving unqualified audit opinion consistently for consecutive years up to the 2021/22 financial year. Stats SA delivered 89.5% of its performance targets as at March 2022. The Department has spent R4 648 billion for all programmes which is an estimated 98.3% of the R4 932 billion allocated budget. The Committee commends Stats SA for sterling performance both on financial and non-financial information.

 

  1. With an additional allocation on Compensation of Employees budget, Stats SA has to prioritise balancing its employment equity targets by ensuring capable women are promoted to senior management positions and 2% of people with disabilities. Stats SA has to commit to a certain percentage of the employment of youth in the department. Vacancy rate of 19.3% has to be drastically reduced by undertaking a recruitment drive to strengthen its workforce. Stats SA has to continue to fill critical post with the additional amount of R49.4 million budget allocated over the medium term for compensation of employees.

 

  1. Stats SA committed to work with disability groups /or organisations in order to attract people with disabilities to join the department in various capacities for vacant funded positions.  

 

  1. Stats SA was advised to consider excess employees from merged departments to be seconded if they meet the requirements as per the job evaluation. 

 

  1. During the year under review, Stats SA focused on finalising processes in preparation for submitting the Statistics Amendment Bill to Cabinet. Delays encountered was due to consultation process on the legislative amendments by ensuring compliance with other legislative prescripts. Stats SA amendment Bill was certified by the office of the Chief State Law Advisor and a final legal opinion was given.

 

Stats SA together with the Minister in the Presidency for the Department of Planning, Monitoring and Evaluation were encouraged to expedite finalisation of the Bill and be tabled in full Cabinet meeting for approval.

 

  1. The Committee notes that Census 2021 was hampered by the COVID-19 pandemic and lockdown restriction as well as November 2021 local government. Stats SA had no option but to postpone Census 2021 to February 2022 and renamed Census 2022.

 

  1. The Committee notes that Stats SA’s data collection Census 2022 was impacted by the COVID-19 pandemic restrictions and Kwa-Zulu Natal province floods. The Department committed to release Census results in second quarter of 2023/24 financial year.  The Committee welcomes the commitment by Stats SA that Census 2022 data analysis will be concluded in May 2023 and released in the second quarter of the 2023/24 financial year.

 

  1. The Committee welcomed and noted integration of statistical and geospatial information during Census 2022 by ensuring collaboration between geo-spatial experts and statisticians. Digital transformation reduces cost of data collection and improves turnaround time of the production of results.         

 

  1. Stats SA assured the Committee that all enumerators are fully paid as this matter was an issue during Census 2022 data collection whereby some fieldworkers were not paid timeously.

 

  1. The Committee notes that fieldworkers/enumerators are appointed in different contract of employment. Stats SA has its own permanent fieldworkers for collecting data for certain surveys and appoint temporary fieldworkers on special projects depending on whether the department is overstretched with resources.

 

  1. Stats SA was commended for delivering first digital Census in the country and the first to use multiple mode of data collection, where households were given the option to complete questionnaires with assistance of a fieldworker either face to face or telephonically or by themselves via the web. Multimode platforms were introduced as strategy to proactive respond to COVID-19 Pandemic and lockdown which continued to distract business operations.

 

  1. Stats SA has to attend to Auditor-General audit opinion regarding compliance monitoring by senior management mainly relating to supply chain management prescripts which were not effective due to a lack of adequate oversight in non-compliance.  

 

 

  1. RECOMMENDATIONS

The Portfolio Committee recommends that:

  1. Statistics South Africa together with Minister in the Presidency for the Department of Planning, Monitoring and Evaluation should expeditiously finalise and table amendment of the Statistics Act (1999) to full Cabinet and later to Parliament since it has met all necessary Executive requirements. The amendments of the Act should firmly respond to the evolving environment, with particular emphasis on statistical coordination, the data revolution, a state-wide statistical service and institutional arrangements.

 

  1. Vacancy rate of 19.3% should be drastically reduced by undertaking a recruitment drive to strengthen departmental workforce in order to continue producing quality, reliable and timeous statistics for the nation and international world.

 

  1. Stats SA should, through additional allocation on Compensation of Employees budget, prioritise balancing its employment equity targets by ensuring capable women are appointed in senior management positions including 2% of people with disabilities.

 

  1. Stats SA should develop and implement an action plan in order to ensure that the deficiencies identified in the 2021/22 financial year are addressed.

 

  1. CONCLUSION

Statistics South Africa continues to play a critical role in South Africa and internationally. Statistical releases give meaning to the evidence-based policy making, decision making, planning and allocation of the budget in the country. The Department was able to spent almost its total allocated budgets and achieved set targets. The Department’s allocated budget on the Compensation of Employees has to be efficiently spend by appointing competent people. The historical record on gender equity representative and 2% of people with disabilities in the department has to be given main priority when filling funded vacancies. The Committee notes that funding allocated to address budget shortfall to Stats SA was not sufficient to cover for budget deficit on Compensation of Employees over the Medium-Term Expenditure Framework.  Stats SA should continue requesting additional budget allocation to stabilise the workforce in the department. Accountability within the Department has improved with responsible leadership and management.

 

During the year under review, Stats SA has embarked in preparation of the Census phase. The Committee welcomed and notes progress made thus far in conducting Census 2022 under tough conditions such as COVID-19 pandemic and Kwa-Zulu Natal Province floods which hampered collection of data. The Committee is looking forward for the release of Census 2022 report in the second quarter of 2023/24 financial year.   

 

Report to be considered