ATC230517: Report of the Standing Committee on Finance on the determination of remuneration of members of the Financial and Fiscal Commission, dated 17 May 2023

Finance Standing Committee

Report of the Standing Committee on Finance on the determination of remuneration of members of the Financial and Fiscal Commission, dated 17 May 2023.

 

1. INTRODUCTION
   1. A letter, dated 10 June 2022, was received from the President of the Republic, requesting the National Assembly to consider the draft notice of his determination of the salaries and allowances of members of the Financial and Fiscal Commission (FFC), amongst others. The draft determination is made in terms of section 9(1) of the Financial and Fiscal Commission Act No. 99 of 1997 (FFC Act), as amended by the Financial and Fiscal Commission Amendment Act, 2015 (Act No 4 of 2015), in terms of the Independent Commission for the Remuneration of Public Office-bearers Act, 1997 (Act no. 92 of 1997) as amended by the Determination of Remuneration of Office-Bearers of Independent Constitutional Institutions Laws Amendment Act, 2014 (Act No. 22 of 2014).
   2. On 13 June 2022 the part of the draft notice from the President on the determination of the salaries and allowances of members of the FFC was referred to the Standing Committee on Finance for consideration and report.

 

1. FFC ACT
   1. Section 9(1) of the FFC Act provides that members of the FFC are entitled to such remuneration, allowances, and other benefits as determined by the President taking into consideration the recommendations from the Independent Commission for the Remuneration of Public Office Bearers (Commission).
   2. The determination by the President must be approved by the National Assembly. Furthermore, the Commission must consult with the Minister of Finance when investigating or considering the remuneration, allowances, and other benefits of members of the FFC.

 

1. INDEPENDENT COMMISSION FOR THE REMUNERATION OF PUBLIC OFFICE-BEARERS ACT, 1997
   1. Subsection (6)(b) of section 8 of the Independent Commission for the Remuneration of Public Office-Bearers Act requires that the Commission take the following factors into account when making recommendations, as it did in the report: 

1. The salary, allowances and benefits of members of other constitutional institutions;
2. affordability in relation to the responsibilities of the constitutional institution concerned; and
3. the level of expertise and experience required of a member of the constitutional institution concerned.

 

1. THE COMMISSION’S RECOMMENDATION
   1. As indicated in the draft notice, the Commission recommended, after considering the relevant legislation and factors that must be taken into account, the following: 3% adjustment to the remuneration of all categories of public office bearers (POBs).
   2. The Schedule to the Notice indicates the total remuneration for the Chairperson as R1 937 158.
   3. The determination applies retrospectively from 1 April 2021.

 

 

1. COMMITTEE RECOMMENDATION
   1. The Standing Committee on Finance, having considered the determination of remuneration of the Chairperson and all categories of public officers of the Financial and Fiscal Commission, referred to it, adopts this report and approves the President’s determination of remuneration of members of the Financial and Fiscal Commission.

 

Report to be considered.