
=====================================================================
Delivery of Social Security Service
=====================================================================

Speeches and Media Releases
 Welfare

[         w

MEDIA BRIEFING
 BY MEC FOR WELFARE, MS NCUMISA KONDLO
 DELIVERY OF SOCIAL SECURITY SERVICE
 2 JUNE 2000

Ladies and gentlemen of the media

I welcome you to this important information sharing session, which is aimed at reaching a more shared understanding of the challenges 
facing the department with regard to the delivery of social security service as well as the initiatives taken to address them.

It is probably common knowledge that we have had more than a fair share of unfavourable publicity recently. It is for this reason that I 
felt it imperative to have this session to share our perspective of these developments, our vision and the progress we believe we have 
registered despite the setbacks we have experienced to date.

Our mandate is to build a caring society, self-reliance and viable development of communities in the province. Our commitment to deliver 
effective and efficient services remains unwavering, especially with the deep understanding of the historical fragmentation, fraud and 
corruption that charaterised our social security system. The department in fact prides itself on having amalgamated three databases, which 
operated on different payment modes and cycles, the latter which rendered the system extremely vulnerable to malpractices.

It is against the backdrop of this heritage that a review process was undertaken in 1997 for the purpose of cleansing the database. It is 
true to say the process was not without its own shortcomings as it was not in every case that proper procedures were followed in canceling 
undeserving beneficiaries. It is also true that some legitimate beneficiaries fell victim to the process, hence the current "class action" 
court challenge.

The department is involved in a series of initiatives aimed at enhancing and improving the integrity of the social security database to 
ensure that only legitimate beneficiaries are paid. These include the forensic audit the department undertook in 1998/99 which indicated 
that approximately 128 000 disability grant beneficiaries should be reviewed for validation purposes and the current re-registration 
process whose primary purpose is to ensure that only legitimate beneficiaries are paid. The disability grant review process resulted in the 
identification of approximately 20 000 beneficiaries who were suspended and most of whom were advised in writing to appeal within 90 days 
if they were of the view that they qualified.

The implementation of these processes is indeed a mammoth challenge, especially in the light of the serious departmental limitations with 
regard to human resources, physical and technological infrastructural backlogs as well as administrative and information systems. A 
classical illustrative example of this unfavourable situation is that the ratio of beneficiaries to officials is approximately 1300 : 1; 
more than double the national norm of 500 : 1. It bears noting that the department utilises its in house human resources to effect the 
payment of social grants. As a result, each month the social security personnel have to spend two thirds of their time in the field and one 
third in the office; which is a recipe for the ongoing accumulation of backlogs as well as corruption.

To address the issues mentioned above the department is taking the following steps:

* "Class action"

* Following the court challenge, the department has identified about 30 000 beneficiaries who were cancelled from the system since 1996,
* Currently, we are auditing their files for the purpose of determining the circumstances surrounding the cancellations,
* There are three categories of these beneficiaries, namely:
* the deserving who were erroneously removed and must be re-instated,
* the undeserving but un-procedurally removed who should be reinstated and then procedurally removed, and
* the undeserving and procedurally removed and should not be brought back into the system.

* Payments, where applicable, will commence in June in respect of beneficiaries whose files have been completed,



* Disability grant suspensions:

* The department is conducting an investigation into irregularities which occurred in the course of the distribution of letters of 
suspension as well as payments made to suspended beneficiaries,
* A total of 25 doctors is being secured to expedite the appeal process and will be deployed to regions according to their specific needs, 
and
* A process of recovering monies incorrectly paid will be instituted.

* Outsourcing:

* the process leading to the outsourcing of the payment of social grant has reached an advanced stage and should be implemented by August 
this year,
* the benefit of outsourcing is that it will release social security personnel from field work to devote 100% of their time to the core 
function of administering the social security system, improve service delivery levels in line with the Batho Pele principles, reduce the 
incidence of fraud and corruption in the system and eliminate risks to life and limb.

* National Task Team:

* As you may be aware the National Welfare Minister, the entire MINMEC including myself, the Exco and the Standing Committee for Welfare 
have identified serious problems with regard to the disbursement of social grants. The critical problems identified by the Task Team in 
partnership with the Department confirmed, once again the challenges which the Provincial Department has raised time and time again with 
Provincial bodies and structures such as the finance department, the budget committee the standing committee for welfare etc.
* Key among these are the following:

* organisational structure for the payment of social security grants,
* inadequate space,
* poor filing systems which results in accumulation of backlogs,
* lack of appropriate technology and physical infrastructure,
* security systems,
* information systems and equipment

* We have agreed to pull together all our resources to ensure that these problems are addressed decisively and quickly. A national task 
team has been deployed to the Province to collaborate in the process of addressing these problems. Resources will be sourced from National 
to assist with the implementation of projects aimed at rectifying the situation, e.g. provision of contract staff to deal with backlogs, 
hiring of vehicles in order to smooth the payout process and contracting doctors to fast track the appeals process.

While it does not seem to be a debatable principle that the education sector cannot deliver its mandate without school buildings and 
classrooms and the health sector without hospitals and clinics, this principle does not seem to extend to the welfare which is faced with 
an acute shortage of office space and non-existent accommodation for both staff and beneficiaries.

My department is unwavering in its commitment to deliver a quality service to, especially, the most vulnerable members of our society. 
Indeed, challenges do exist; but I want to assure you that we are on course in our quest to realise our vision.

I wish to extend a special invitation to you, members of the media, to visit our service offices in order for you to see for your selves 
the state of affairs prevailing there. I would hope that you would then feel it your duty to inform the public of your findings.

Let me conclude by thanking the Premier of the Province, Comrade Stofile, the National Minister of Welfare, Comrade Skweyiya, my colleagues 
at MINMEC and in the Exco, the ANC and its alliance partners, departmental officials and members of the community for their contributions, 
as well as the co-operation and support they have shown.

I thank you

Ningadinwa Nangamso



---------------------------------------------------------------------
Home | About the Eastern Cape | Economy
 Structures | International Relations | Documents
 Premier's Office | Speeches & Media Releases
 Top of Page

---------------------------------------------------------------------

About the Eastern Cape

Premier's Office

Structures

Documents

Speeches & Media Releases

International Relations

Economy


