Prof Liezel Lues

Department of Public Administration & Management

University of the Free State
Republic of SA

EHRM 1514
2023
SECTION A: HUMAN RESOURCE MANAGEMENT IN CONTEXT
LEARNING UNIT 3: HUMAN RESOURCE MANAGEMENT: A PUBLIC SECTOR OVERVIEW

3.3.1 Unit overview

This unit focuses on the public management transitions that took

Van der Westhuizen, E.J. ed. 2021.
Human Resource Management in
Government: A South African perspective
on theories, politics and processes. Cape
Town: Juta and Company. ISBN
978148513114
place since becoming a democracy in 1994, particularly the role
of South African public sector leadership accountability. It
introduces the global, macro-, and micro-environments and how
these environments shape the future of public management. How
South African public sector leaders respond to and operate within
these changing environments are emphasised. Furthermore, this
chapter notes, with interest, how these reforms developed and
shaped the future of the public sector during the Mandela, Mbeki,
Zuma and Ramaphosa eras. It then concludes with contemporary
trends in and challenges for public sector HRM.
Public sector organisations are owned, controlled and managed by the government or other state-run bodies.
Private sector organisations are owned, controlled and managed by individuals, groups or business entities.
The point of departure is that effective public service is crucial to strengthen democracy.
 • Public sector wage bill has topped R700 billion, painting a complex picture for
the government trying to tighten spending as labour unions pile on the pressure
for above-inflation salary increases.
• 2023/2024 financial year, Finance Minister Enoch Godongwana expects
compensation to public servants to reach R701.2 billion, surpassing a level he
once thought would be reached in 2025.
• The government spent R690 billion on the wage bill in the previous financial year.
• In addition to the 395,267 people employed by national government
departments and the 912,856 who work for the nine provincial
administrations, local government has 342,042 personnel and national state
entities 117,619. Totaling 1767.784
SECTION A: HUMAN RESOURCE MANAGEMENT IN CONTEXT
LEARNING UNIT 3: HUMAN RESOURCE MANAGEMENT: A PUBLIC SECTOR OVERVIEW

LEARNING OUTCOMES ASSESSMENT CRITERIA

Comprehend the role of political
leadership in a dynamic & changing
HR environment.
1. Explain the influence of the global-, macro and micro-
environment on human resource management (HRM)
in the South African public sector.
2. Discuss the dynamics of the South African workforce
environment before and post 1994.
3. Distinguish between the political reform initiatives of
the Mandela, Mbeki, Zuma and Ramaphosa
administrations with the focus on HRM.
4. Describe contemporary trends in and challenges for
public sector HRM.
EXPLAIN THE INFLUENCE OF THE GLOBAL-, MACRO & MICRO-
ENVIRONMENT ON HUMAN RESOURCE MANAGEMENT (HRM) IN THE SOUTH
AFRICAN PUBLIC SECTOR
EXPLAIN THE INFLUENCE OF THE GLOBAL-, MACRO & MICRO-
ENVIRONMENT ON HRM IN THE SAN PUBLIC SECTOR

• 21st century world is in the midst of multi-faceted and revolutionary change

• Changes leading to a ‘global village’ - internationalisation of markets
• Challenges have brought about revolutionary expectations
• Had a considerable impact on the role & disposition of the respective governments &
public sector leaders
• Global environment typically refers to those variables that influence the decisions of a
government such as Covid
• United Nations - 17 Sustainable Development Goals & 169 targets
• The Ministry of Planning published a National Development Plan (‘Our future – Make it
work’) aimed at eliminating poverty & reducing inequality by 2030
• The micro-environment in the SAn public sector encapsulates current HR challenges
(cadre appointments, nepotism, corruption, inequality)
The National Planning Commission proposed eight strategies to be
addressed (National Planning Commission, 2012): (i) creating jobs &
improving livelihoods; (ii) expanding infrastructure; (iii) transitioning to
a low-carbon economy; (iv) transforming urban & rural spaces; (v)
improving education & training; (vi) providing quality health.
SECTION A: HUMAN RESOURCE MANAGEMENT IN CONTEXT
LEARNING UNIT 3: HUMAN RESOURCE MANAGEMENT: A PUBLIC SECTOR OVERVIEW

LEARNING OUTCOMES ASSESSMENT CRITERIA

Comprehend the role of political
leadership in a dynamic & changing
HR environment.
1. Explain the influence of the global-, macro and micro-
environment on human resource management (HRM)
in the South African public sector.
2. Discuss the dynamics of the South African workforce
environment before and post 1994.
3. Distinguish between the political reform initiatives of
the Mandela, Mbeki, Zuma and Ramaphosa
administrations with the focus on HRM.
4. Describe contemporary trends in and challenges for
public sector HRM.
 WORKFORCE ENVIRONMENT PRE 1994 COMPARED WITH POST-1994

Dynamics & the workforce environment Dynamics & the workforce environment: Dynamics of the current
before 1994 post-1994 public sector workforce
• Diamonds (1867) & gold (1872) • Feverish constituting of regulations • Salaries
• GEAR • Race & gender
• European immigrants were often paid
• 2 major challenges (macro-environment • Unionisation
high wages
& micro-environment). • Absenteeism
• Manufacturing industry (furniture & • Transformation
clothing) • Typical large number of inexperienced
• The decade to follow featured a black men & women in lower & middle
regulations & activities addressing posts, still dominated by a few white
labour issues male managers.
• Sanctions imposed from abroad from • April 2002, 68% of senior management
the 1960s onward • March 2008, 1 204 525 (56% women &
44% men)
• SAn public sector staff establishment
• SAMDI 1996
• Males dominated the higher structures • PALAMA 2006
• Specialists to deal with industrial • NSG 2013
relations

• Public service training institute

SECTION A: HUMAN RESOURCE MANAGEMENT IN CONTEXT
LEARNING UNIT 3: HUMAN RESOURCE MANAGEMENT: A PUBLIC SECTOR OVERVIEW

LEARNING OUTCOMES ASSESSMENT CRITERIA

Comprehend the role of political
leadership in a dynamic & changing
HR environment.
1. Explain the influence of the global-, macro and micro-
environment on human resource management (HRM)
in the South African public sector.
2. Discuss the dynamics of the South African workforce
environment before and post 1994.
3. Distinguish between the political reform initiatives of
the Mandela, Mbeki, Zuma and Ramaphosa
administrations with the focus on HRM.
4. Describe contemporary trends in and challenges for
public sector HRM.
 Table 15.1: Public sector leadership focus

Nelson Mandela (10 May 1994 to 14 June 1999)

Reconcile & heal relationships, set a humane platform to move forward.
Thabo Mbeki (16 June 1999 to 24 September 2008)
Strengthen the economy, build partnerships.
Jacob Zuma (9 May 2009 to 14 February 2018)
Created a self-interest above everything & everyone.
Cyril Ramaphosa (15 February 2018 to present)
Fighting against corruption, aiming to restore the economy.
Mobilising the fight against the coronavirus.
SECTION A: HUMAN RESOURCE MANAGEMENT IN CONTEXT
LEARNING UNIT 3: HUMAN RESOURCE MANAGEMENT: A PUBLIC SECTOR OVERVIEW

LEARNING OUTCOMES ASSESSMENT CRITERIA

Comprehend the role of political
leadership in a dynamic & changing
HR environment.
1. Explain the influence of the global-, macro and micro-
environment on human resource management (HRM)
in the South African public sector.
2. Discuss the dynamics of the South African workforce
environment before and post 1994.
3. Distinguish between the political reform initiatives of
the Mandela, Mbeki, Zuma and Ramaphosa
administrations with the focus on HRM.
4. Describe contemporary trends in and challenges for
public sector HRM.
CONTEMPORARY TRENDS IN & CHALLENGES FOR PUBLIC SECTOR HRM
Leadership
Professionalising the public service
Economic growth & social security
Information & communication technology
•Stat SA (2020) estimates the mid-year population at 59,62 million of which, Working conditions
Corruption
•approximately 30,5 million of the population is female.
•SA’s unemployment rate (people who have stopped looking for work) stands at 29.1% 4th quarter of 2019
•SAn environment is prevalent in unemployment, inequality, poverty, poor governance, corruption, poor governance &
leadership
•The challenge for SA in the macroenvironment is to show robust leadership in accelerating social development &
effectively addressing poverty.
•Poverty can be addressed by creating jobs, attracting investment, engaging in trade with other countries & promoting
development.
•Significant investment of time & resources & a commitment to accountable leadership from the SAn government.
•Greatest threat to SA is an ANC leadership that responds to populist politics.
•Change is most powerful when it comes from Premiers, members of executive committees, directors-general, chief
directors & all public officials that lead projects within the public sector should set an example & foster a professional &
efficient organisational culture.
 CONTEMPORARY TRENDS & CHALLENGES FOR PUBLIC SECTOR HRM Leadership
Professionalising the public service
Economic growth & social security
Information & communication technology
• Prioritise a focus on a professional, ethical & performance-oriented Working conditions
Corruption
ethos among public servants.
• Reliant on the supporting presence of political will to provide services
• Only if the politically appointed leadership & senior management set an example of practicing a
professional ethos, display basic respect for the citizens & the taxpayers’ money.
• The NSG align development initiatives with the strategies of the public service & respective service
providers & include modern, effective & efficient ways to train public servants.
• Basic codes of conduct should be revisited, amended, honoured & practiced.
• The image & physical appearance of the public service should become professional.
• Continual cross-generational dialogue, particularly with citizens should become the order of the day.
• Economic growth well-being of SA & sustaining the democracy captured in the NDP.
• Supporting the implementation & respective objectives of the NDP without any reservation.
• Improving coordination across government & strengthening accountability for poor performance.
 CONTEMPORARY TRENDS & CHALLENGES FOR PUBLIC SECTOR HRM Leadership
Professionalising the public service
Economic growth & social security
• Expand employment in sectors such as health, social work, Information & communication technology
Working conditions
education & law-enforcement agencies & manufacturing. Corruption

• Increase tourism, especially after the 2020 coronavirus worldwide lockdowns.

• Curb crime & streamline criminal justice performance.
• Curb public sector wasteful expenditure.
• The SAn government needs to implement a competitive global technology platform.
• Strive for global consistency & set standards to ensure efficiency & growth.
• Make high-speed broadband internet universally available at competitive prices.
• Manage HR with a deep understanding of multiple technologies – from payroll systems to social sharing
tools.
• Obtaining the right employee for the relevant job & encompasses the recruitment of qualified applicants
& the selection & appointment of those who best comply with the requirements of vacant positions
• SAn public sector does not function optimally- lack of sufficient resources to fulfil mandates - insufficient
application of the disciplinary system - undeveloped management capacity.
CONTEMPORARY TRENDS & CHALLENGES FOR PUBLIC SECTOR HRM
Leadership
Professionalising the public service
• Invest in a career path for each staff member. Economic growth & social security
Information & communication technology
• Foster a culture of investment in human resources & retain skills & experience. Working conditions
Corruption
• Build a proactive retention model to identify potential problems before they occur.
• Rely less on higher education institutions to provide training.
• The NSG should take the lead initiative to build an environment & a culture of continuous learning
• The public sector must revisit the current performance management process
• Reduce the number of forms & make them straightforward & easy to use.
• Switch from rigid performance reviews to flexible performance conversations.
• HRM practices free from discrimination, invisible barriers, injustice that impedes equal employment opportunities.
• Promote ethical behaviour & the quality of service delivery by public servants. This does not necessarily guarantee a
corruption-free public service.
• AG (2010/2011: 2–18), government tenders amounting R113 million awarded between 2010 - 2011 to individuals who
had relatives or friends in state institutions.
• Stats SA estimated that in 2017/18, 0,31% of adults (aged 16 & above) were asked to pay a bribe by government
officials in return for service. Money constituted about 93% of all the bribes. Most of it (59%) was paid to avoid paying
traffic fines.
GOVT PUTS MEASURES IN PLACE TO REDUCE PUBLIC SECTOR WAGE BILL
Nthambeleni Gabara
August 22, 2022 Modified date: August 25, 2022

The cost containment measures put in place by government since 2020 have drastically reduced the ballooning public
sector wage bill, says Acting Public Service & Administration Minister, Mr Thulas Nxesi.
“During the 2022 [Budget Vote], the 2021 public service wage agreement was higher than budgeted ( R20.5 billion in
2021/22 & 2022/23), however, it consists of a cash gratuity rather than a permanent adjustment of salaries which will
result in long-term savings in the public sector wage bill,” he said.
Departments are expected to manage the filing of both critical & non-critical posts within staff establishments
while remaining within budget & still delivering on their mandates.
Wage negotiations in the public service space for the financial year 2022/23 commenced in April earlier this year at
the Public Service Co-ordinating Bargaining Council (PSCBC).

Assessing the effectiveness of public servants

Minister Nxesi said one of the measures in place to assess the effectiveness of public servants is the PMDS that is
aimed at ensuring that the performance work plans for public servants are linked to their personal development
plans.
A uniform skills audit tool for the public service space will be unveiled in the 2023/24 performance.
GOVT URGES TRADE UNIONS TO ACCEPT THE TABLED OFFER
September 9, 2022

Public service wage negotiations continue at the Public Service

Coordinating Bargaining Council (PSCBC)
The current wage offer occurs under a problematic financial situation
amidst the high unemployment rate.
The government is urging that the offer should be accepted so that the
state can focus on addressing the pressing matters related to the
employment of front-line workers such as the Police, Nurses &
Teachers.”

The 2022/23 public service salary negotiations commenced at the PSCBC

with the process of pre-negotiations for purposes of sharing information
on the government’s economic outlook with Labour before tabling their
demands.
The purpose of the pre-negotiations process was to address the long-
standing misalignment between the Government’s Medium Term
Expenditure Framework (MTEF) & the Medium Term Budget Policy
Statement (MTBPS).
Trade unions within the public service negotiating at the PSCBC usually
present their demands after the state has concluded its planning cycle.
This misalignment is usually a source of tensions & mistrust that arise right
at the beginning of the negotiations process & resulting in the process over-
lapping into the next planning cycle, thus making it difficult for the
government to incorporate labour’s demands into its spending plans for
new proposals.