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Reading: PSA Says Budget 3.0 Was A ‘Missed Opportunity To Capacitate Public service’
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The Bulrushes > Business > PSA Says Budget 3.0 Was A ‘Missed Opportunity To Capacitate Public service’
Business

PSA Says Budget 3.0 Was A ‘Missed Opportunity To Capacitate Public service’

The union said the budget does not adequately address funding needs of essential public services such as healthcare, education, and social grants

Staff Writer
Staff Writer
Published: May 22, 2025
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Johannesburg – The Public Servants Association (PSA) says Finance Minister Enoch Godongwana missed an opportunity in his budget proposal to “capacitate the public service”.

Responding to Wednesday’s budget speech, the PSA said it was “disappointed” that Minister Godongwana, “failed to adequately address the challenges faced by South Africa and missed an opportunity to capacitate the public service”.
 
The PSA added: “The budget does not adequately address funding needs of essential public services such as healthcare, education, and social grants.

“These sectors are critical for the well-being of citizens and require more substantial investment.

“The allocation for employment of only doctors is noted, however, the rest of the health sector is experiencing critical shortages across all professions, including nurses, pharmacists, porters, and general workers.

“The health sector will continue to suffer chronic staff shortages, with an adverse effect on service delivery.”

The union said the minister’s silence on community health workers was another major omission of this major challenge in the health sector.

The PSA said the government has initiated a programme to encourage public servants to take voluntary packages “without a plan or budget to replenish employees who take these packages”.

The union added: “Government has created an expectation in this regard, which seems unlikely to be fulfilled.

“The PSA therefore repeats the Union’s calls for the filling of public-service vacancies if government is committed to providing services to citizens.”
 
The PSA said it was further concerned that Minister Godongwana failed to address the employment of much-needed police officers and correctional officers to capacitate the security sector.

“Whilst the budget aims to stabilise debt, current strategies may not be sufficient to address the country’s long-term debt crisis,” the PSA said.

“More innovative solutions are needed to reduce the debt burden without compromising public services.
 
“The budget again fell short in providing a comprehensive social-protection framework that can effectively support the unemployed and those living in poverty.”

The PSA, however, said the decision to withdraw the proposed 0.5% Value Added Tax increase was commendable as it protects the purchasing power of consumers, especially the most vulnerable.

“The increase in the fuel levy, however, diminishes this benefit,” the union.
 
Enhancing the capacity of the South African Revenue Service to collect taxes and combat illicit trading is crucial for increasing government revenue without burdening taxpayers, the PSA said.

“The allocation for infrastructure development is also welcomed, whilst considering the state of roads, schools, state-owned buildings, hospitals, clinics, and police stations, the allocation seems inadequate,” the PSA said.

RELATED: Budget 3.0 Largely Welcomed: No VAT Hike, General Fuel Levy Goes Up Next Month – The Bulrushes

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