City salary hikes not approved yet

GOVERNMENT has not given the City of Windhoek permission to hike this year’s salary, wage and allowance bill by eight per cent to N$462 million, nearly a third of the municipality’s entire operational budget for 2009-10.

In terms of the Local Authorities Act, the Minister of Regional and Local Government, Housing and Rural Development must approve all salary and wage increases of the municipality.Approached for comment on the City’s high salary and wage budget yesterday, Minister Jerry Ekandjo said he knew ‘nothing’ about it.Permanent Secretary Erastus Negonga, however, told The Namibian the increase has not been approved yet.In a letter Negonga wrote to City Chief Executive Officer (CEO) Niilo Taapopi on February 17, he said: ‘Salary increases, if any, must be approved by the Minister on a separate submission in terms of the provisions of Section 27 (1) (c) (ii) (bb) of the Local Authorities Act (Act 23 of 1992) as amended.’The half a billion-budget, which received the green light from the City Council at the end of June, includes salaries and wages of N$226 million and allowances of N$115 million.Under allowances, N$2,7 million will be spent on Mayor Matheus Shikongo and his 14 councillors, and N$5 000 on the steering committee. Housing and transport allowances total N$88 million and N$20 million respectively.The budget also allocates N$4,5 million to ‘other allowances’, meant as tool allowances for artisans and technicians, stand-by allowances for electricians and staff and the Gammams sewerage plant and inconvenience allowances for staff working on the sewerage ring.Furthermore, the budget provides for overtime to the tune of N$23 million, as well as clothing and uniforms of N$8 million.The City will contribute N$38,5 million to its medical aid fund and N$45 million to its pension fund. Social Security Fund contributions amount to N$1 million. The municipality will also pay N$4 million for medical aid contributions for former employees. Workmen’s compensation are nearly N$4 million.The Namibian has reliably learnt that councillors and senior management of the municipality met behind closed doors this week to discuss ways to deal with the public outcry following rate hikes of between 10 per cent and 15 per cent and media reports on the City’s intended spending spree this year.The municipality will not revisit the budget, it was decided. The decision comes despite Taapopi’s undertaking on national television Monday night that the City will consider budget changes if Windhoekers are unhappy with the expenditure.Reports by The Namibian that the municipality intends on blowing at least N$1,4 million on entertainment, parties and festivals this year, were apparently refuted at this meeting with management claiming that the amount includes other items.For the record, this is how the paper arrived at ‘at least N$1,4 million’: entertainment, CEO and special executives (N$140 000), entertainment Mayor (N$25 000), entertainment general (N$143 000), New Year’s Eve celebration (N$215 000), sports and cultural promotions (N$95 000), staff social events (N$220 000), carnival and fun days (N$75 000), national sports and recreation games (N$100 000), annual award ceremony (N$10 000), sports and recreation (N$10 000) and arts and culture festival (N$550 000).Added together, the above approved items amount to N$1,583 million.Not included are N$100 000 for Christmas lights, N$12 000 for copyright fees for a musical, N$100 000 for the municipality’s sport club or N$87 500 for a farewell retirement donation.Or N$132 588 for refreshments – 115 per cent more than last year.Minister Ekandjo, when asked what he thought of the City’s planned spending spree, passed the buck to the municipality.’Ask them to comment,’ he said yesterday.Meanwhile, the National Union of Namibian Workers (NUNW) is still consulting with their legal team regarding an interdict to stop the City from implementing the budget.jo-mare@namibian.com.na