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Business

PSA raises red flag over national library executive pay hikes

Business Day ·
PSA raises red flag over national library executive pay hikes

The Public Servants Association (PSA) has called for an urgent, expanded investigation by the public protector into what it says are executive salary increases at the National Library of South Africa (NLSA).

PSA GM Reuben Maleka said the public protector was already investigating complaints relating to appointments and governance matters at the NLSA.

The union’s call for a widened investigation followed allegations that “senior remuneration adjustments and related governance processes may not have met the standards expected of a public institution”.

“According to reports, the CEO’s salary allegedly increased from approximately R1.8m to R2.6m per annum. The CFO’s salary reportedly increased from approximately R1.4m to R2.1m per annum. Employees, on the other hand, received an increase of only 3%.”

Maleka said these increases raised questions about the approval process and whether all applicable statutory, governance and financial-management requirements were followed.

“The PSA is particularly concerned about allegations that some executive salary increases may have been implemented before organisational restructuring processes were finalised. Reports have also raised questions about compliance with legislative and governance requirements for executive remuneration in public entities,” he said.

“These concerns are compounded by reports that benchmarking exercises and salary-grading processes may have contributed to substantially increased remuneration levels. The public protector is already investigating complaints relating to appointments and governance matters at the NLSA. At a time when public servants and other South Africans face significant economic pressure, public institutions must demonstrate the highest standards of accountability, transparency, ethical leadership, and responsible financial management.”

Maleka called on the public protector to “urgently broaden the scope of the current investigation to include the allegations relating to executive remuneration, salary adjustments, governance practices, compliance with applicable legislation, and any related matters arising from reported findings”.

NLSA spokesperson Jolene Bhadais and public protector spokesperson Oupa Segalwe have been approached for comment, which will be added once received.

Read the full article on Business Day ›

5News aggregated this summary from the outlet’s public feed. The full article, with all the context, is on www.businesslive.co.za — the content belongs to Business Day.

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