23 June 2025

The ANC welcomes the proposal of the Public Sector Pension and Related Payments Bill, which comes before the national assembly plenary on Tuesday, 24 June 2025, that public sector related pension, post-retirement medical and other benefits in terms of statutory and collective agreement obligations become direct charges against the National Revenue Fund. We are satisfied by the provisions of the Bill that will improve the administration of these benefits to deserving Members, easing National Treasury from the current administrative burdens posed by the current payment regime.  

We believe that the Bill plays an important role in advancing transformation and equity in our public financial landscape. At its core, the bill ensures that pension and post-retirement medical benefits—especially those tied to pre-1994 pension schemes and retired judges—are treated as direct charges against the National Revenue Fund. This means these obligations are prioritized and protected, reinforcing the state’s commitment to honor historical agreements and addressing past disparities.

By securing payments to individuals who served under apartheid-era structures but were previously excluded or undercompensated, the bill acknowledges and begins to correct systemic injustices. Making these payments a direct charge on the National Revenue Fund ensures they are not subject to annual budget negotiations, which promotes fairness and predictability for beneficiaries. It also seeks to ensure certainty and timely payment to recipients, such as pensioners and those receiving post-retirement medical benefits.

This Bill also allows the Minister of Finance to update the schedule of benefits in line with new laws or collective agreements, creating space for more inclusive and equitable benefit structures over time.

The ANC is supportive of the bill as it reinforces the principle that transformation includes honoring commitments and ensuring dignity in retirement for those who served the public, especially those historically marginalized. It is part of a larger effort to streamline public finances and ensure that legally mandated payments are made promptly and efficiently.

Issued by the Whip of the ANC Study Group on Appropriations, Cde Nonceba Gcaleka-Mazibuko

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