CAPE TOWN – The Finance Minister Tito Mboweni announced on Wednesday that for the foreseeable future the cabinet, premiers and MECs’ salaries would be frozen at current levels, with the likelihood of an adjustment downwards.
The minister’s announcement was received with a warm applause after which he announced further cost-cutting measures, emphasising that board and executive management compensation and benefits should be reduced.
“The President has agreed to guidelines which will apply to members of the Cabinet and members of provincial executives:
- For the foreseeable future, Cabinet, Premiers and MECs’ salaries will be frozen at current levels, with the likelihood of an adjustment downwards
- The cost of official cars will be capped at R700 000 VAT inclusive
- A new cellphone dispensation will cap the amount claimable from the state
- All domestic travel will be on economy class tickets
- There will no longer be payment for subsistence and travel for both domestic and international trips