COMPENSATION FUND PRESENTATION TO THE SELECT COMMITTEE ON ECONOMIC AND BUSINESS DEVELOPMENT 2014.09.16

COMPENSATION FUND

PRESENTATION TO THE SELECT COMMITTEE ON ECONOMIC AND

BUSINESS DEVELOPMENT2014.09.16

1. Overview and objective of the Compensation Fund

2. Compensation Fund’s Objective, Vision, Mission and Values

3. Service delivery outcomes

4. Summary of Performance 2013/2014 Financial Year

5. Progress on the Commitments made in 2013-14

6. Action Plan to Address Negative Audit Opinion in respect of Regulatory and IT Audit

7. Action Plan to Address Negative Audit Opinion in respect of Performance Information

8. Comparison of Claims Registered, Accepted and Repudiated for 2011-2014

9. Production and Statistics: Comparison of Provincial Decentralisation Statistical

Report

10. Challenges

11. Priorities

12. The new Claims Management System

13. 2013/14 Budget and MTEF Estimates

14. Expenditure trends per economic classifications

15. Compensation Fund Budget 2014-15 Financial Year

TABLE OF CONTENTS

Chief Directorate Communication | 2011.00.00

OBJECTIVES, VISION, MISSION AND VALUES OF THE FUND

Objective•The main objective of the Act is to provide compensation for disablement caused by occupational injuries or diseases sustained or contracted by employees, or for death resulting from such injuries or diseases, and provide for matters connected therewith.

Our Vision•To be a world class provider of sustainable compensation for occupational injuries and diseases, rehabilitation and reintegration services

Our Mission•To provide efficient, quality, client-centric and accessible COID services•To sustain financial viability•To ensure an organisation which takes care of the needs of its staff for effective service delivery

Our Values•We shall at all times adhere to and live the Batho Pele Principles

4

SERVICE DELIVERY OUTCOMES

Government Service Delivery Outcomes

DOL Strategic Objectives

CF Strategic Outcomes CF Strategic Objectives

Outcome 4: Decent employment through inclusive economic growth

Strategic Objective 3: Protecting vulnerable workers

Participate in government initiatives of creating and sustaining decent employment

Promote policy advocacy

Integration of CF with the comprehensive social security reforms

Strategic Objective 5: Strengthening social protection

Improve payment of benefits to the beneficiaries of the Fund

Providing an efficient social safety net

Improve collection of revenue from employers

Improve financial viability

Outcome 12: An efficient, effective and development oriented public service and an empowered and inclusive citizenship.

Strategic Objective 8: Strengthening the institutional capacity of the Department

Effective administration of the Fund’s operations

Provide professional, efficient and client orientated human resources

Strengthening Corporate Governance

Improve corporate support and services

Enhance quality and access to COIDA services and information

SUMMARY OF PERFORMANCE FOR 2013/14 FINANCIAL YEAR

TOTAL PERFORMANCE INDICATORS = 51

PROGRAMMES TARGETS ACHIEVED NOT

ACHIEVED

PERCENTAGE

ACHIEVED

PERCENTAGE

NOT ACHIEVED

Compensation 3 2 1 66.6% 33.3%

Medical Services 3 0 3 0% 100%

Human Resource

Management

6 2 4 33.3% 66.6%

Risk Management 4 2 2 50% 50%

Legal Services 5 1 4 20% 80%

Communication 1 1 0 100% 20%

Finance 9 3 6 33.3% 66.6%

ICT and Call Centre 4 3 1 75% 25%

Organisational

Effectiveness

4 2 2 50% 50%

Programme

Management Office

1 1 0 100% 0%

Internal Audit 11 7 4 63.6% 36.3%

GRAND TOTAL

51

24

27

47%

53%


PROGRESS ON THE COMMITMENTS MADE IN 2013-2014

No. Commitment Target Date Status 30 August 20141.1 Filling of Critical Posts 30 Sept 2014 The Fund has appointed Director: SCM, Chief Risk

Officer, COO, CFO and Director : Client Services among other key critical posts filled

1.2 Exercising oversight responsibility and holding Programme Managers accountable on performance reporting.(This will include issues around staff discipline and consequence management)

Engaging Executive Authority to address challenges around the following: Accounting Authority

And the review of the current delegations

On-Going The Commissioner is currently attending to the matter.

2 Sourcing of resources to fill the PMO to coordinate and monitor all turnaround projects

30 June 2014Turnaround Strategy has been moved to the Commissioner’s office to accelerate implementation. In addition, a process to establish a PMO is currently underway, in this regard, posts have been established, job profiles designed and jobs presented at the job evaluation panel

3 Clean Audit Initiative. Sourcing of External Capacity to work towards Clean Audit Outcome

31 Mar 2016 Consultants were appointed at the beginning of 2014/15 financial year to address the negative Audit opinions. High level plan developed and currently being consulted with stakeholders.

4 Filling of the Business Relationship Manager (CIO) Vacant Post

This will assist in the stabilisation of the IT environment, filling of critical posts and skills. The development of IT governance framework and the new CF road map

30 April 2014 There is an Acting Business Relationship Manager and the position is expected to be filled before the end of the financial year


PROGRESS ON THE COMMITMENTS MADE IN 2013-2014 (Cont)No. Commitment Target Date Status 30 August 2014

5 Filling of the CIA Vacant Post 30 Sept 2014 CIA position has not yet been filed, but the interviews have been conducted.

6 Setting up of the Internal Control Structure and Function and Capacitating thereof

30 June 2014 The interim structure has been set up and its operational. The process of establishing a permanent structure is underway, in this regard, work study investigation has been concluded and job profiles are in the process of being finalised

7 Develop and implement action matrices to clear audit findings

31 March 2015 Little improvement on audit outcome has been noted. The Commissioner is contemplating various initiatives. The high level root cause analysis is underway.

8 Roadmap of Migration from Legacy to New Claims Management Systems (which involve the

Procurement and Implementation of Umehluko, Nappi Codes, and Service Level Agreements with the Switching Houses)

30 June 2014 The CF went live on Umehluko on the 4th of August 2014

9 All Performance Agreements for SMS, SR12 and below, signed and filed

All Performance Reviews for SMS, SR12 and below, signed and filed

All Performance Assessments for SMS, SR12 and below, signed and filed.

31st May 2014

31 May 2014

31 Oct 2014

31 May 2015

The challenge has been the finalisation of performance assessments for employees below the SMS levels due to non-adherence of due dates of submission of documents. In order to deal with this challenges, the Commissioner is considering taking disciplinary steps against the relevant officials


PROGRESS ON THE COMMITMENTS MADE IN 2013-2014 (Cont)No. Commitment Target Date Status 30 August 2014

10 Management of Discipline, Change Management, Morale and Training to be Implemented as per Public Service Prescripts

31 March 2015

(On-Going)

Change Management initiatives were undertaken as part of the implementation of the Umehluko Claims Management System. In addition, the Fund is in the process of undertaking a comprehensive change management programme. The responsibility for the management of discipline is vested with respective managers.

11.1 Review the structure of the Risk Management unit 31 March 2015 The review of the Risk Management Unit is underway. In addition, Risk Management Committee has been established and is functional.

11.2 Coherent risk management principles and processes

Develop sound risk management policies and guidelines in line with applicable standards.

31 March 2015

(On-Going)

The risk management governance documents have been developed and approved.

11.3 Enterprise-wide Risk assessments

Conduct the risk identification, evaluation, analysis and develop risk treatment plans for Strategic, Operational, Information Technology and Financial risks.

31 March 2015

(On-Going)

A process to appoint a service provider to assist with the implementation of an enterprise-wide risk assessment is underway.

11.4

Improve internal control environment

Continuous monitoring of controls/ risk treatment plans to ensure they are effective and efficient both in design and operation to mitigate the risks

31 March 2015

(On-Going)

The interim structure has been set up and its operational. The process of establishing a permanent structure is underway, in this regard, work study investigation has been concluded and job profiles are in the process of being finalised


PROGRESS ON THE COMMITMENTS MADE IN 2013-2014 (Cont)

No. Commitment Target Date Status 30 August 2014

11.5 Organisational performance information management 31 March 2015

(On-Going)

The action plan has been developed as part of efforts to improve organisational performance

11.6 Review the improvement and functioning of anti-corruption capacity and implement corrective measures where applicable.

31 March 2015

(On-Going)

A hotline to anonymously report fraudulent and corrupt activities has been established.

The anti-fraud and corruption policy, strategy, response plan and fraud prevention plan have been approved

11.6 Alignment and coordination

Alignment of operational objectives to the strategic objectives of the organisation

Business units to develop/update and implement risk based policies and procedures.

31 March 2015

(On-Going)

The review of Strategic and Annual Performance plan is in progress.

Financial management and other policies are continuously being reviewed and developed

11.7 Good corporate governance

Provide assurance of Compensation Fund’s management of risks to oversight structures (Risk Management Committee, Audit Committee and Advisory Board) by producing quarterly reports.

31 March 2015

(On-Going)

Quarterly reports are presented to Audit and Risk Committees, Board and Board sub-committees

ACTION PLAN TO ADDRESS NEGATIVE AUDIT OPINION IN RESPECT OF FINANCIAL

MANAGEMENT


OVERALL MAPPING OF NEGATIVE OUTCOMES PER FOCUS AREAS 2013 - 2014

# Description Focus areas

Mapping of Negative Opinions

Total Opinions

Rank Short Tem

Medium Term

Long Term

Control environment All

1. Compliance and governance (Underway) 69 - - -

2. Medical claims 27 3 15 9

3. Compensation and Pension 15 6(2 FD) 9 -

4. Supply chain management 44 11 19 14

5. Assessments revenue management (Underway) 51 - - -

6. Expenditure, accounts payable and accruals 66 18 38 10

7. Financial reporting 40 8 26 6

10. Information communication technology 5 - - 5

Total 317

Matter of Disclaimer Matter of emphasis Other Major matters

December 2014 Sept 2015 31 March 2016/17Short termShort term Medium termMedium term Long termLong term

Note: Compilation of Internal audit findings register in progress .

12

2014 – FINANCIAL Disclaimer

Short term Medium Term

Long Terms

1. Revenue and receivables from non exchange transactions √

2. Allowances for impairment √

3. Benefits paid and payables from exchange transactions √

4. Provisions for outstanding claims √

5. Cash and cash equivalents √

6. Related party transactions √

7. Commitments √

8. Irregular expenditure √

9. Aggregation of immaterial uncorrected misstatementsa)Admin expensesb)Contingenciesc)Fruitless and wasteful expenditured)Accrualse)Statement of changes in net assets

√

HIGH LEVEL PLANS TO ADDRESS AUDIT OPINIONS (DISCLAIMER AND MATTERS OF EMPHASIS)

December 2014 Sept 2015 31 March 16 & 17

13

2013 – LEGAL AND REGULATORY Outcome Status Short Term

Medium Term

Long Terms

1. Performance targets not specific Unchanged √

2. CF did not ensure that there is effective, efficient and transparent system of financial and risk mgt and internal control

Unchanged √

3. CF did not keep proper records of financial affairs Unchanged √

4. Procurement challenges Unchanged √

5. Expenditure management Unchanged √

6. Revenue management Unchanged √

7. Claims and payables management Unchanged √

8. Liability management Unchanged √

9. Internal control Unchanged √

10. Leadership Unchanged √

11. Financial and performance management Regressed √

12. Governance (Risk, fraud prevention, IT) Unchanged √

- Denotes other major matters - Denotes matters of emphasis -Denotes matters of disclaimer

HIGH LEVEL PLANS TO ADDRESS AUDIT OPINIONS (DISCLAIMER AND MATTERS OF EMPHASIS)

14

HIGH LEVEL PLANS TO ADDRESS AUDIT OPINIONS(OTHER INTERVENTIONS)

High Level Plans Status Timelines

Short Term

Medium term

LongTerm

1. Establish FINMAB - CFO √

2. Approved Financial Misconduct Policy - CFO √

3. Clear at least 50% of prior year errors - CFO √

4. Clear other prior year errors - CFO √ √

5. Financial Management Policies √

6. COIDA Amendment on Revenue Recognition √

7. Revenue Management Policy √

8. Revised Assessment Model √

9. Improved Claims Payments & Validations √

10. SAP Fi System Configurations √

15

High Level Plans Status Timelines

Short Term

Medium term

LongTerm

11. Document and File Management √

12. Capacitate Finance √ √

13. Skills transfer √ √

14. CF to clear all AGSA reported items √

15. Review and update all financial policies and procedures √

16. Review and update all others policies and procedures (i.e.: Corporate Services, COO…)

√

17. Establishment of internal control function within the Fund √

18. Program Management office to be established to co-ordinate all activities

√

HIGH LEVEL PLANS TO ADDRESS AUDIT OPINIONS(OTHER INTERVENTIONS)

ACTION PLAN TO ADDRESS NEGATIVE AUDIT OPINION IN RESPECT OF PERFORMANCE

INFORMATION

PERFORMANCE INFORMATION ACTION PLAN

FINDING 2013/14

ACTIVITIES TO ADDRESS THE FINDING

STATUS TO DATE COMPLETION DATE

RESPONSIBLE PERSON

A. Directorate: Compensation Management1. A total of 67% of the

targets relevant to the programme were not specific in clearly identifying the nature and the required level of performance

a) Performance targets must be measurable. We could not measure the required performance for 67% of the targets.

b) Performance indicators must be well defined by having clear data definitions so that data can be collected consistently and is easy to understand and use. A total of 67% of the indicators relevant to the programme were not well defined

a) Review performance target on the APP to meet the SMART criteria

b) Review Performance indicators to meet the SMART criteria

Reviewing performance information and indicators on the APP to ensure that it meets the SMART criteria

Reviewing the reporting on production statistics on the new system to align with the KPI and also finalising requirements for MIS reports

30 September 2014

L. MatandelaChief Operations Officer (COO)

PERFORMANCE INFORMATION ACTION PLAN (Cont)

FINDING 2013/14



RESPONSIBLE PERSON

A. Directorate: Compensation Management 2. Inadequate technical indicator description and management did not adhere to the requirement of the FMPPI.

a) Review technical indicators to meet the FMPPI requirements

Reviewing performance information and indicators on the APP to ensure that it meets FMPII

30 September 2014

L. MatandelaCOO

3. Compensation Directorate presented in the annual performance report is not useful in accordance with the identified performance management and reporting framework.



30 September 2014

L. MatandelaCOO


FINDING 2013/14



RESPONSIBLE PERSON

A. Directorate: Compensation Management4. The FMPPI requires

auditors to have appropriate systems to collect, collate, verify and store performance information to ensure valid, accurate and complete reporting of actual achievements against planned objectives, indicators and targets. We were unable to obtain the information and explanations we considered necessary to satisfy ourselves as to the reliability of the reported performance information.

a) Intensify the implementation of the new system (Umehluko) to assist in collating, storing and retrieving accurate and complete information

Developing and implementing requirements for production statistics and MIS reports

30 September 2014

L. MatandelaCOO


FINDING 2013/14



RESPONSIBLE PERSON

B. Directorate: Medical ServicesThe NT FMPPI requires that: a)Performance targets be specific in clearly identifying the nature and required level of performance. A total of 33% of the targets relevant to the programme were not specific in clearly identifying the nature and the required level of performance. b) Performance targets must be measurable. We could not measure the required performance for 33% of the targets.c) Performance indicators must be well defined by having clear data definitions so that data can be collected consistently and is easy to understand and use. A total of 33% of the indicators relevant to the programme were not well defined.




30 September 2014

L. MatandelaCOO


FINDING 2013/14



RESPONSIBLE PERSON

B. Directorate: Medical Services

5. Inadequate technical indicator description and management did not adhere to the requirement of the FMPPI.

a) Review technical indicators to meet the FMPPI requirements


30 September 2014

L. MatandelaCOO

6. Reported performance information of Programme 2: Medical Services Directorate presented in the annual performance report is not useful in accordance with the identified performance management and reporting framework.

a) Review performance information on the performance report


30 September 2014

L. MatandelaCOO


FINDING 2013/14



RESPONSIBLE PERSON

B. Directorate: Medical Services

1. The FMPPI requires auditors to have appropriate systems to collect, collate, verify and store performance information to ensure valid, accurate and complete reporting of actual achievements against planned objectives, indicators and targets. We were unable to obtain the information and explanations we considered necessary to satisfy ourselves/myself as to the reliability of the reported performance information

a) Intensify the implementation of the new system (Umehluko) to assist in collating, storing and retrieving accurate and complete information

Developing and implementing requirements for production statistics and MIS reports

30 September 2014

L. MatandelaCOO


FINDING 2013/14



RESPONSIBLE PERSON

B. Directorate: Human Resource Management

a)A total of 60% of the targets relevant to the programme were not specific in clearly identifying the nature and the required level of performanceb)Performance targets must be measurable. We could not measure the required performance for 20% of the targets.c)Performance indicators must be well defined by having clear data definitions so that data can be collected consistently and is easy to understand and use. A total of 20% of the indicators relevant to the programme were not well defined.d)The period or deadline for delivery of targets must be specified. A total of 20% of the targets relevant to the programme were not time bound.



Reviewing performance information and indicators on the APP to ensure that it meets the SMART criteria

30 September 2014

T. MokomatsidiChief Director: Corporate Services (CD: CS)


FINDING 2013/14



RESPONSIBLE PERSON

B. Directorate: Human Resource Management9. Inadequate technical indicator

description and management did not adhere to the requirement of the FMPPI.

Review technical indicators to meet the FMPPI requirements.

Reviewing performance information and indicators on the APP to ensure that it meets FMPPI

30 September 2014

T. MokomatsidiCD: CS

10. The FMPPI requires auditors to have appropriate systems to collect, collate, verify and store performance information to ensure valid, accurate and complete reporting of actual achievements against planned objectives, indicators and targets. Overall, 25% of the targets were not reliable because we were unable to obtain sufficient appropriate audit evidence for 25% of the targets. In addition, 25% of the targets were not accurate and complete when compared to the source information or evidence provided. This was due to the fact that management excluded information from Provinces when reporting on the targets.

• Develop shared Y-drive where portfolio of evidence and other information pertinent to performance could be stored.

• Develop Standard Operating Procedures to assist with the collection, collation and storing of performance information.

• Furthermore, Intensify the implementation of the new system (Umehluko) to assist in collating, storing and retrieving accurate and complete information

The effectiveness of the proposed actions will be evaluated during the finalisation of the second Quarterly Performance Management Report

31 October 2014

All Programme and Responsibility Managers

COMPARISON OF CLAIMS REGISTERED, ACCEPTED AND REPUDIATED FOR 2011-2014

• The table below gives comparison for the last three financial years.

• The number of claims registered has increased and the reasons for these may be improvement in the claims system since its launch in 2011, the backlog elimination projects embarked upon and also partly the positive impact of decentralisation.

25

COMPENSATION FUND

PERIOD CLAIMS REGISTERED

CLAIMS ACCEPTED

CLAIMS REPUDIATED

NOT ACCEPTED, OUTSTANDING INFORMATION

1-APR-2011 TO 31-MAR-2012 141 437 110 180 129 31 128

1 April 2012 to 31 March 2013 196 509 129 405 356 63 226

1 April 2013 to 31 March 2014 310 710 260 253 88 50 369

COMPARISON OF CLAIMS REGISTERED, ACCEPTED AND REPUDIATED FOR 2011-2014

• The table below gives comparison for the awards processed for payments, for different benefits as indicated in the tables below.

• In some claims, different types of benefits were paid in one claim.

26

Table 2: Pension

Year Amount paid during the year

2011/12 94 330 529

2012/13 83 618 570

2013/14 69 752 890

Table 3: Temporary Total Disability

Year Amount Capitalised

Monthly Pension Payments

2011/12 549 000 702 735 859 6912012/13 330 887 254 689 407 0702013/14 420 427 753 789 69

5 914

Table 4: Permanent Disability


2011/12 59 749 160

2012/13 88 701 628

2013/14 87 029 325

Table 5: Constant Attendance Allowance


2011/12 19 719 220

2012/13 13 847 779

2013/14 14 552 688

PRODUCTION AND STATISTICS: COMPARISON OF PROVINCIAL DECENTRALISATION STATISTICAL REPORT

• The table below gives the comparison of claims registered in the province from 2011/12 until 2013/14.

27

2011/2012 2012/13 2013/2014

Province Registered Registered Registered

Eastern Cape 24 452 781 1 300

Free State 3 516 699 693

Gauteng Pta 93 407 5 775 11 957

Gauteng Jhb 1 685 5 789 48

Kwa-Zulu Natal 4 853 2 549 3 530

Limpopo 1672 478 551

Mpumalanga 3 362 831 1 765

Northern Cape 870 333 275

North West 2 561 853 662

Western Cape 4 906 4 240 4 129

Other( unspecified) - 4 256 285 800

TOTAL 164 532 196 509 310 710

CHALLENGES

• Inefficient IT Systems.• Turnaround times in processing of compensation claims.• Backlog in processing claims and payments.• Delay and/or non-reporting of accidents.• Human capacity constraints.• Document management.• Records management system.• Engagement with trade unions and the delays in the implementation of the structure.• Centralised IT and post EOH contract.• Non-compliance by stakeholders as a result of incomplete information by

employers; delays in the submission of banking details by beneficiaries and employers that fail to submit their annual returns

• Fraudulent activities are still negatively affecting the finalisation of employer assessments and the debt book continues to increase. This is due to the fraudulent letters of good standing which were issued, in most cases not in accordance with the Compensation Fund policy.

28

PRIORITIES FOR 2014/15

Implement a Turnaround and Modernisation Strategy by:

•Developing a new Assessment Rate Model

•Conduct a scoping exercise on the ICT environment

•Establishing the Programme Management and Internal Control Units

•Finalising of the decentralisation process including the placement of staff and resettlement to provinces

•Investing in Social Responsible Investment as part of the implementation of the Government’s Medium Term Strategic Framework 2014-2019

•Exploring ways to strengthen employer compliance by conducting payroll audits

•Implementing a comprehensive plan to address the disclaimer audit opinions

•Tabling COID Amendment Bill in Cabinet and Parliament respectively

•Improving human resource capacity through recruitment and capacity development

•Implementing a new claims management system (see next slide for details)29

AMENDMENTS TO THE COIDA

The Compensation Fund is in a process of tabling Amendments of the Compensation for Occupational Injuries and Diseases Act, 130 of 1993 (COIDA) amendments to both Cabinet and Parliament. The purpose of amending COIDA is to:

•to substitute, insert and repeal certain definitions;

•to provide anew for the administration of the Act;

•to provide for rehabilitation, re-integration and early return to work of occupationally injured and diseased workers;

•to regulate the use of health care services;

•to regulate dispute resolution, monitoring and enforcement; and

•to provide for matters connected therewith.

It is envisaged that the amendments will be tabled in the Cabinet during the week of the 22 September 2014 so as to request permission to take the Bill to NEDLAC as part of public consultation process. Once finalized in the NEDLAC the Bill will then be tabled in Parliament for processing and adoption.

THE NEW CLAIMS MANAGEMENT SYSTEM

• The new electronic claims system is called “Umehluko”

• Umehluko system went live on the 4th August 2014

• RMA Maintenance and Support services approved through BAC in July 2014.

• Service Level Agreement signed.

• Switching houses were activated from 25 August 2014.

• Umehluko dependencies: Storage, System network challenges Alleviation of system slowness

2013/14 BUDGET AND MTEF ESTIMATES

Programmes 2013/14 Budget

2014/15 Allocation

MTEF Projections

2015-16 2016-17 2017-18 2018-19

8 643 848 5 300 807 5 567 475 5 837 033 6 113 375 6 299 507

Corporate Management

23 752 57 200 60 059 62 462 65 585 68 865

Financial Management

3 114 149 221 523 232 599 241 903 253 998 261 618

Operations Management

4 695 499 4 178 963 4 389 538 4 611 979 4 827 068 4 973 104

Corporate Services

810 448 843 122 885 278 920 690 966 724 995 920

32

EXPENDITURE TRENDS PER ECONOMIC CLASSIFICATIONS

• Medium Term Expenditure Estimates

2013/14 2014/15 2015/16 2016/17 2017/18

Current Budget Approved Budget

Forecast Forecast Forecast

Compensation of Employees

R 430 145 069 R 580 860 310 R 636 042 039 R 683 745 192 R 728 188 630

33

COMPENSATION FUND BUDGET 2014-15 FINANCIAL YEAR

EXECUTIVE SUMMARY 2012-13 to 2014-15

Economic Classification2012-13 Actual

2013-14 Allocation

2014-15 Estimates/ Approved

Compensation of Employees 336 582 177 430 145 069 580 860 310

Goods and Services 2 543 492 850 8 199 233 954 4 712 746 875

Capital Expenditure 4 111 884 14 469 000 7 200 000

Total Expenditure Budget 2 884 186 911 8 643 848 023 5 300 807 185

Revenue 12 397 107 231 9 019 184 685 12 984 971 768

Surplus (Deficit) 9 512 920 320 375 336 662 7 684 164 583

PROVINCIAL BUDGET ALLOCATION

35

Approved AllocationPROVINCE NAME 2014/15

FREE STATE 3 502 054

KZN 7 043 000

EASTERN CAPE 7 351 700

WESTERN CAPE 6 696 900

NORTHERN CAPE 2 643 500

MPUMALANGA 1 768 560

NORTH WEST 1 479 560

GAUTENG 3 149 900

LIMPOPO 6 285 682

TOTAL PROVINCIAL BUDGET 39 920 856

COMPENSATION FUND BUDGET 2014-15 FINANCIAL YEAR

EXECUTIVE SUMMARY MTEF PROJECTIONS

Economic Classification2015-16

Projection2016-17

Projection2017-18

ProjectionCompensation of Employees 636 042 039 683 745 192 728 188 630

Goods and Services 4 923 909 111 5 145 425 571 5 376 969 722

Capital Expenditure 7 524 000 7 862 580 8 216 396

Total Expenditure Budget 5 567 475 150 5 837 033 343 6 113 374 748

Revenue 13 764 070 074 14 589 914 279 15 465 309 135

Surplus (Deficit) 8 196 594 924 8 752 880 936 9 351 934 387

Thank You…

Compensation Fund

Documents

COMPENSATION FUND PRESENTATION TO THE SELECT COMMITTEE ON ECONOMIC AND BUSINESS DEVELOPMENT 2014.09.16