Local Government: Regulations on Appointment and Conditions of Employment of senior managers DANIEL J DE LANGE CELL 0825572064 [email protected] NOVEMBER.

Local Government: Regulations on Appointment and Conditions of

Employment of senior managersDANIEL J DE LANGE

CELL [email protected]

NOVEMBER 2014 1

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Overview of PresentationOverview of Presentation

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1. Purpose of Presentation2. Background3. Overview of Regulations4. Implementation plans and action5. End

multifarious) Definitions 1.having many parts of great variety

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1.1. Key MessageKey Message

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To ensure uniform interpretation and application of the Regulations; and

To highlight the need to review the staff establishments, human resource plans, procedures ,employment contracts and HR systems.

To ensure that the implementation of the Act and regulations are complied with as part of professionalisation of LG.

Emphasise the importance of developing an implementation plan for the regulations

Some Key Questions ?Some Key Questions ?

• Are there unintended consequences of the regulations?• Are we ready and do we have the resources and the will to implement all the

regulations?• Do we have a plan of action in place when most of the employment contracts of

the current crop of senior managers expire in 2015/2016 and the posts of these managers must be advertised?

• What happens if all regulations are applied correctly except one regulation does the appointment become irregular and must such appointment be disclosed in the AFS the in the same way as SCM transactions?

• Are the regulations contributing to the successful appointment of senior managers and if yes why is the service delivery standards deteriorating?

• Are we suffering from regulationnitis?(the symptoms are unable to use ones discretion, lacking in creativity, rarely take time to think and just follow the letter of the law)

• Are the regulations having an impact and changing the behaviour of the leadership and management?

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2.2. BackgroundBackground

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The new system of local government that came into effect in December 2000 provides a contextual framework for local public administration and human resource regime - that empowers municipalities to move towards the upliftment of communities through the provision of basic services to communities.

This new system requires an efficient, effective and transparent local public administration that conforms to values and principles governing public administration (s195 of Constitution)

2.2. Background (Cont.)Background (Cont.)

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Since the new transformation agenda was adopted, the system of local public administration has undergone significant transformation. These, inter alia, include:

o LG: Municipal Performance Regulations for Municipal Managers and Managers Directly Accountable to Municipal Managers, 2006

set uniform standards to facilitate a culture of performance and accountability.

o LG: MFMA: Municipal Regulations on Minimum Competency Levels, 2007 regulate uniform financial competences to improve financial

management and viability of municipalities.o LG: Regulations Regarding the Participation of Municipal Staff

Members in Municipal Elections, 2011 regulate the participation of municipal staff in elections.

o LG: Disciplinary Regulations for Senior Managers, 2011 set uniform procedures for management of discipline for senior

managers.


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Despite such evidence of progress in the transformation of municipal institutional systems and the lack of norms and

standards, there is overwhelming consensus that some municipalities face governance and institutional challenges in

meeting their obligations (Report on the State of Local Government, 2009 and Report and State of Local Government

Human Resources, 2010).

As part of the implementation of the Local Government Turn Around Strategy, the LG: Municipal Systems Act, 2000 (Act No. 32 of 2000) – (“the MSA”) was amended on 5 July 2011 to provide legal certainty on matters relating human resources.

o


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The MSA enjoins the Minister to make Regulations for the setting of uniform standards for all municipal staff and duties, remuneration, benefits and other terms and conditions of employment of municipal managers and managers directly accountable municipal managers.

The Minister published Regulations on the Appointment and Conditions of Employment of Senior Managers on 17 January 2014 (GG No. 37245) (GN No. 21).

LG: Upper Limit Of Remuneration Packages Payable to Municipal Managers and Mangers Directly Accountable to MM’S No 225(GG 37500 29 January 2014

3.Overview of Regulations (Cont.)

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Regulation 1 - 2

Definitions and scope of application

In these Regulations, a word or expression to which a meaning has been assigned in the Act has the same meaning as in the Act, unless the context indicates otherwise.

These regulations apply to all municipalities, municipal entities, and senior managers.

These regulations must be read in conjunction with –o any the regulations or guidelines issued in terms of

section 120 of the Act; ando LG: Municipal Regulations on Minimum Competence

Levels, 2007.

CHAPTER 1: INTERPRETATION AND APPLICATION


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Regulation 3

Human resource planning

CHAPTER 2: STAFF ESTABLISHMENT

A municipal council must – o assess the human resources necessary to

perform its functions, with particular reference to – the number of senior managers required; and the competencies which a senior manager must

have.o assess existing human resources by race,

gender and disability, and department with reference to their –

competences; training needs; and employment capacities, and o plan within its available budgeted funds for the

recruitment, retention and development of human resources according to its specific needs.


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Regulation 4

Staff establishment

A municipality must review their staff establishment before 17 January 2015, after having considered the principles set out in the Regulations.

In order to curb the bloating of municipal administrations, a municipality must also provide for at least the following departments on its staff establishment:

o Development and Town Planning Services;o Public Works and Basic Services (Technical Services);o Community Services; o Financial Services (Chief Financial Officer); and o Corporate Support Services.

A municipality must review its staff establishment within 12 months if there is a new council elected for the municipality; when the council adopts its integrated development plan; or when there are changes to the outer boundaries of the municipality, or to its functions.



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Regulation 4

(cont.)

Staff establishment

The staff establishment must provide for the appointment on a permanent or a fixed-term basis.

In the case of fixed term posts, the municipal manager must have due regard to –

o the financial implications of such a post to the municipality;

o any existing contractual obligations of the incumbent manager and the financial implications thereof on the budget of the municipality;

o the need of the municipality to retain institutional memory and scarce skills, and to promote stability and continuity within the municipality; and

o the sustainability of the municipality.

After finalisation of the review of the staff establishment, the municipal manager must, within 14 days, submit the staff establishment (together with a detailed report) to the municipal council for approval at its next meeting. .



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Regulation 4

(cont.)

Staff establishment

The report contemplated above must outline the process followed in developing the staff establishment, including – o a summary of the mandate and service delivery

priorities of the municipality and how the proposed staff establishment addresses these;

o a summary of the proposed posts that are envisaged to – » materially change;» change to a limited or non-material degree;» be abolished; and» not be affected by the changes;

o a motivation of the proposed changes, including an analysis of the strengths, weaknesses and limitations of the current staff establishment;

o job descriptions, duties, functions, competency requirements and responsibilities according to which one or more posts of the same grade are established, including the grading or relative size and value of a job;



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Regulation 4

(cont.)

Staff establishment

o details of the financial implications of the changes including, but not limited to, the outcomes of job evaluation processes, remuneration costs for senior managers, costs for relocation, new facilities and equipment, if any;

o non-financial implications of the changes, including the impact on existing staff, key stakeholders and other processes within the municipality;

o a project plan that specifies the timeframes within which it is envisaged that implementation is to take place; and

o the stakeholders and change management requirements.



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Regulation 5

Creation and filling of senior manager posts

A municipal council must–

o confirm that the municipality requires the post to meet its strategic objectives;

o ensure that a job description has been developed for the post;

o attach to that post the remuneration and other conditions of employment; and

o ensure that sufficient budgeted funds, including funds for the remaining period of the medium-term expenditure framework, are available for filling the post.



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Regulation 6

Principles of recruitment

Recruitment, selection and appointment of senior managers must take place in accordance with the municipal systems and procedures contemplated in section 67 of the Act that are consistent with sections 54A, 56 and 57A of the Act.

A senior manager post must be filled through public advertising.

Selection must be competence-based.

CHAPTER 3: RECRUITMENT, SELECTION AND APPOINTMENT


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Regulation 7

Determination of recruitment needs

When the post of a senior manager becomes vacant, or is due to become vacant, the MM or mayor must upon receipt of official notification, obtain approval from the municipal council for the filling of such post.

A vacant senior manager post may not be filled unless –

o approval to fill the post has been granted by the municipal council; and

o the post has been budgeted for.

The speaker may convene a special meeting to obtain municipal council approval for the filling of a senior manager post.



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Regulation 8

General requirements for appointment of senior managers

No person may be appointed as a senior manager on a fixed term contract, permanent basis or on probation, to any post on the approved establishment of a municipality unless he or she –

o is a South African citizen or permanent resident; and

o possesses the relevant qualifications, experience, competencies and skills.

An appointment may not take effect before the first day of the month following the month during which the municipal council approved the appointment.



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Regulation 10

Advertising a vacant posts

The municipal manager must within fourteen (14) days of receipt of approval from the municipal council ensure that the post is advertised.

A vacant senior manager post must be advertised in the media circulating nationally and in each of the provinces.

A municipality may utilise a recruitment agency to identify candidates for posts: Provided that the advertising, recruitment and selection procedures comply with these regulations.

Monthly reports on the progress made with regards to the filling of the vacancy must also be submitted to the mayor / municipal council.



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Regulation 11

Application for vacant posts

Applications for vacant posts must be submitted on an official application form.

On-line application forms that may have been developed by a municipality (provided that the on-line application form substantially corresponds to the prescribed application form).

An applicant for a senior manager post must disclose – o academic qualifications, proven experience and

competencies; o contactable references;o any offence for which he or she has been convicted;o any disciplinary actions, whether pending or finalised,

instituted against him or her in his or her current or previous employment; and

o registration with any professional body. Any misrepresentation or failure to disclose information is a

breach of conduct and will lead to the disqualification of candidate.

The municipality must compile and maintain a record of all applications received.



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Regulation 12

Selection panel

A municipal council must appoint a selection panel to make recommendations for the appointment of candidates to vacant senior manager posts.

The selection panel for the appointment of a municipal manager must, at least, consist of –

o the mayor - who will be the chairperson, or his or her delegate;

o a councillor designated by the municipal council; and

o at least one other person, who is not a councillor or a staff member of the municipality, and who has expertise or experience in the area of the advertised post.



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Regulation 12

(cont.)

Selection panel

The selection panel for the appointment of a senior manager must, at least, consist of –

o the municipal manager - who will be the chairperson;o a member of the mayoral committee or councillor who is

the portfolio head of the relevant portfolio; ando at least one other person, who is not a councillor or a staff

member of the municipality, and who has expertise or experience in the area of the advertised post.

A panel member must disclose any interest or relationship with shortlisted candidates during the shortlisting process, and must recuse himself or herself from the selection panel if there is any conflict of interest.

A panel member and staff member must sign a declaration of confidentiality as set out in Annexure D to the Regulations.



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Regulation 13

Compiling shortlist of applicants

A mayor/municipal manager must compile, in consultation with the selection panel –

o a list of all applicants who applied for an advertised post; and

o a shortlist consisting of all applications received for a specific post, evaluated against the relevant competency requirements.

The shortlisting must be finalised within thirty (30) days of the closing date of the advertisement.

A record of all the applicants must be kept by the municipality.

Both the long and short lists must be submitted to the selection panel members before the interviews.



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Regulation 14

Screening of applicants

Screening of the shortlisted applicants must take place within twenty-one (21) days of finalisation of shortlisting by –

o conducting reference checks;o contacting the candidate's current or

previous employer if unemployed;o determining the validity of a candidates’

qualifications; ando verifying whether the candidate has been

dismissed previously for misconduct or poor performance by another employer.

A report on the screening process must be compiled and tabled before the selection panel.



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Regulation 15

Interviews

Interviews must be conducted within 21 days of the screening process.

The selection panel for a specific post must remain the same throughout the screening and interviewing process

A records must be kept of every panel member’s individual assessment of the interviewed candidates.

The determination of candidates to be recommended for appointment must be considered by way of consensus between the members of the selection panel.

If consensus cannot be reached, a dissenting member may record his or her concerns in the minutes whereafter the issue may be voted upon, with each member of the selection panel entitled to one vote.

The selection panel must make a determination of a second and third choice to mitigate against delays in the event that the first choice candidate declines the offer of employment.



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Regulation 16

Selection

The persons recommended for appointment to the post of a senior manager must undergo a competency assessment.

The competency assessment instrument must – o be scientifically proven to be valid and reliable;o be capable of being applied fairly; ando not be biased against any person or group of

persons. A municipality must provide funding for purposes of

competency assessment and testing. The selection panel must submit a report and

recommendation on the selection process to the municipal council. Municipalities may apply to the Local Government Sector Education and Training Authority (LGSETA) to make use of the discretionary grants to fund the competency assessment / testing.



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Regulation 17

Resolution of municipal council on the appointment of senior managers

Before making a decision on an appointment, a municipal council must satisfy itself that –

o the candidate meets the relevant competency requirements for the post;

o Screening of the candidate has been conducted; ando the candidate does not appear on the record of staff

members dismissed for misconduct.

The municipal council must take a decision on the appointment of a suitable candidate.

The municipal council must –• inform all interviewed candidates of the outcome of the

decision referred to in subregulation (3); and• within 14 days of the decision, report to the MEC for local

government of the appointment process and outcome.



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Regulation 17

(cont.)


The report must contain –o details of the advertisement, including date of issue and

the name of newspapers in which the advert was published, and proof of the advertisement or a copy thereof;

o a list of all applicants;o a report contemplated in regulation 14(2) on the

screening process and the outcome thereof;o the municipal council’s resolution approving the

selection panel and the shortlisted candidates;o competency assessment results;o the minutes of the shortlisting meeting;o the minutes of interviews, including scoring;o the recommendations of the selection panel submitted to

the municipal council;



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Regulation 17

(cont.)


o the details of executive committee members and recommendations, if the selection panel comprised of all members of the executive committee;

o the recommendation of the executive committee or executive mayor to the municipal council, if any;

o the municipal council resolution approving the appointment of the successful candidate;

o the application form, curriculum vitae, proof of qualifications and other supporting documentation of the successful candidate;

o a written confirmation by the successful candidate that he or she does not hold political office as contemplated in section 56A of the Act, as at the date of appointment;

o the letter of appointment, outlining the term of contract, remuneration and conditions of employment of the senior manager; and

o any other information relevant to the appointment.



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Regulation 18

Re-employment of dismissed persons

A person who has been dismissed for misconduct may not be employed as a senior manager in any municipality before a certain period has expired: Provided that this does not apply to a senior manager whose dismissal is pending appeal.

If a senior manager is dismissed for more than one category of misconduct the periods of rehabilitation will run concurrently.

A person dismissed for misconduct is prohibited from re-employment in any municipality is calculated from the date of dismissal or conviction.

A municipality must maintain a record of staff members dismissed for misconduct and those who resigned prior to the finalisation of any disciplinary proceedings.

A report must be submitted within 14 days of such dismissal or resignation to the MEC and the Minister.



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Regulation 19

Re-advertisement of posts

If no suitable candidate has been identified, the municipal council –

o must inform all shortlisted candidates that their applications have been unsuccessful; and

o may re-advertise the post.



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Regulation 20

Secondment

A municipal council may request the MEC for local government to second a suitable person with the relevant skills, competencies, expertise and qualifications to act as municipal manager .

Secondment must be done by agreement, and the agreement must stipulate the duration, party responsible for costs, the job description.

A person seconded must be paid an allowance and be compensated while on secondment for subsistence and travel.

A person seconded must ―o prioritise the filling of the vacant post to which he or she is

seconded;o report in writing at least once a month to the relevant MEC for

local government and the Minister with regard to the filling of the post and the development and implementation of any municipal institutional recovery plan for which the seconded official is responsible;



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Regulation 20

(cont.)

Secondment

o ensure that the municipal council meets regularly and in line with section 18(2) of the Structures Act or as often as is necessary to conduct council business;

o monitor and assess the adherence to policy, principles and frameworks applicable to council and the administration;

o address challenges in respect of adherence to such policy, principles and frameworks by reviewing, amending and ensuring adoption and implementation thereof;

o devise a turnaround strategy for the municipality including a strategy to promote good governance;

o ensure implementation of council resolutions by the administration;

o implement a system to control and approve all expenditure;o implement all governance systems and procedures

including appropriate councillor oversight mechanisms; ando ensure implementation of financial systems, policies and

procedures.


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INTERVIEW PROCESS FOR SENIOR MANAGERSDAYS

Approval from Council to fill the post. Special Meeting can be arranged. VACANCY Appointment of Selection Panel

14ADVERTISEMENT Within 14 days of Council Resolution. National Newspaper.

APPLICATION Must disclose details of qualifications, experience, offences, disciplinary action, etc.

30 SHORTLISTING Must be finalized within (30) days of closing date of advertisement. Both long list and short list must be submitted to Selection Panel

21 REFERENCE Must take place within 21 days of finalization of shortlisting references, current CHECK and previous employers, validity of qualifications, misconduct & poor performance. Report to be submitted to Selection Panel (Google)

21 INTERVIEW Conducted within 31 days of screening. Same Selection Panel, minutes, record kept of panel members, consensus, record concerns, determine 2nd and 3rd choice

21 est. APPOINTMENT Persons recommended for appointment must undergo competency assessment. Appoint external service provider to perform competency assessment. Selection Panel submit a report to Council with

recommendations.

14 REPORT TO Inform MEC within 14 days of Council Resolution. Details and content of report 121 MEC prescribed.


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Regulation 21-23

Ordinary hours of work, overtime and annual leave

A senior manager must work at least 40 ordinary hours per week from Monday to Friday.

A senior manager may be required to work overtime without additional remuneration.

A senior manager must apply for leave on an official leave form attached on the regulations.

Annual leave cycle” is calculated from 1 January to 31 December.

A senior manager is entitled to two working days leave on full remuneration for every month worked.

A senior manager who commences employment after 1 January must be entitled to paid annual leave on a pro rata basis.

A municipality must establish a system to record accurately the leave taken by senior managers.

CHAPTER 4: CONDITIONS OF EMPLOYMENT


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Regulation 24-32

Sick, maternity, family responsibility, study and special leave

A senior manager qualifies for 36 days' sick leave in a three year cycle calculated from 1 January.

Sick leave may not be carried over from one sick leave cycle to the next sick leave cycle.

A senior manager is entitled to full remuneration for four months while on maternity leave.

A senior manager is entitled to five working days family responsibility leave per annual cycle.

A senior manager may apply for study leave and special leave in accordance with the policies of a municipality.



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Regulation 36

Disclosure of benefits and interests

A senior manager who enters into an employment contract in terms of these regulations must—

o within 60 days after his or her appointment; ando annually thereafter, from the commencement of the new

financial year of a municipality, declare his or her benefits and interests.

The benefits and interests may include any shares, directorships or property, which may potentially be in conflict with the senior manager’s official duties.

A senior manager must disclose all his or her registerable interests on the prescribed form.

Failure to disclose benefits and interests is a breach of contract and must be dealt with in terms of the Code of Conduct for Municipal Staff as provided for in Schedule 2 to the Act, read in conjunction with the Disciplinary Regulations.



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Regulation 37 - 40

Retirement, medical schemes, motor vehicle and mobile phone

A senior manager must participate in a retirement or pension fund registered in terms of the Pension Fund Act, including retirement funds accredited by the bargaining council designated for municipalities.

A senior manager may (optional) participate in a medical aid registered in terms of the Medical Aid Scheme Act, including medical aid schemes accredited by the bargaining council designated for municipalities.

A senior must have a motor vehicle for the proper performance of his or her functions – own funding from total cost to company.

A senior manager is entitled to compensation for use of mobile telephone for official purposes according to policy of municipality.

Edgar Allen Poe "I became insane with long intervals of horrible sanity."

CHAPTER 5: BENEFITS


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Regulation 41-44

Retirement, notice of termination, dismissal for misconduct, nomination of beneficiaries

A senior manager has the right to retire, and must retire, on the first calendar day of the month following the day on which he or she turns 65 years of age.

The municipality may, on the basis of medical evidence, consider the dismissal of a senior manager on account of ill-health.

A dismissal on account of ill-health or injury must be done with due regard to item 10 of Schedule 8 of the Labour Relations Act.

A senior manager may for purposes of implementation of these regulations, designate one or more beneficiaries to whom accruing benefits to him or her may be paid in the event of senior manager’s death.

The benefits of a senior manager who died before nominating beneficiaries must be dealt with in terms of the Administration of Estate Act, 1995.

CHAPTER 6: TERMINATION OF SERVICE


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Regulation 46

Repeal

Municipal Performance regulations repealed 6,7,9,11,12,13,15,26(8),35,36,37and 38.

CHAPTER 7: GENERAL


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Regulation 45

Transitional arrangements

An employment contract for a senior manager, entered into before the Regulations came into effect, remain in force until the contract lapses or is terminated. When such an employment contract lapses or is terminated, the vacant post must be advertised in accordance with the provisions contained in the Regulations

CHAPTER 7: GENERAL

IMMEDIATE NEXT STEPS

4. End

THANK YOU!THANK YOU!

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http://www.nmmu.ac.za/

Local Government: Regulations on Appointment and Conditions of Employment of senior managers DANIEL J DE LANGE CELL 0825572064 [email protected] NOVEMBER.

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