Defence and Military Veterans Minister’s Angie Motshekga is taking the injunction to cut four thousand people from the SA National Defence Force (SANDF) and Department of Defence (DoD) seriously with the first of what is called “many” planned retirement seminars held last week (10 to 14 March).
With more than 65% of the defence budget totalling R115 billion over the next three years earmarked for compensation of employees (CoE), early exit for personnel in the 50 to 64 age group is seen as an area where the salary bill can be trimmed.
Another measure contained in National Treasury Director-General Duncan Pieterse’s Estimates of National Expenditure (ENE) tabled on 12 March will see what is termed “commuted overtime” in the SA Military Health Service (SAMHS) managed to ensure if doesn’t exceed a third of an employee’s total annual salary package.
These and others are part of a drive to bring personnel numbers in government’s defence sector to a maximum of 73 000. In 2024/25 there were 71 051 personnel in the defence force, and this is set to rise to 71 654 in 2025/26, 73 069 in 2026/26, and 74 492 in 2027/28 unless interventions are made. The majority are employed within the Landward Defence division (35 063 personnel in 2024/25).
Pieterse notes in the ENE for defence that “the department’s [of Defence] work is labour intensive” adding managing personnel costs will target 4 000 eligible members of the SANDF in the government-wide early retirement programme. A plus to the programme is those choosing it will not have to pay penalties on their pension benefits.
Of the first retirement seminar in Thaba Tshwane, Defence Corporate Communication (DCC) staffer, Staff Sergeant Nkosinathi Nkosi, wrote it was to ensure the retirement process was completed accurately “to avoid unforeseen risks and hidden costs associated with improper separation”.
Between now and month-end similar seminars will be held in all provinces with SANDF and Public Service Act (PSA) personnel asked to use the DoD Intranet for more information, including dates and venues. The seminars are presented by the human resource management component of the DoD Human Resource Division.
During a briefing on 12 March, Pieterse said there will be engagements with departments “which are more personnel intensive than others” to introduce retirement packages when funds become available to departments from 1 April.
“There are certain departments that are more personnel-intensive than others and that have had problems with their budgets for their compensation of employees’ budgets. Two good examples of these are the Department of Correctional Services and the Department of Defence,” he said.
National Treasury estimates billions of Rands will be saved every year by trimming wage bills, with departments to retain these savings.