DPSA Director-General, Ms Yoliswa Makhasi.

The Department of Public Service and Administration issued a circular, which provides for the implementation of benefits for the Senior Management Service (SMS) members.

The circular on the improvement of service for SMS members has been sent to all provincial administrations, Heads of national and provincial departments by DPSA’s Director-General, Ms Yoliswa Makhasi. It deals with Public Service and Administration Minister’s determination for the 2022 SMS cost of living adjustment.

The benefits for the implementation for SMS are the payment of a non-pensionable monthly cash allowance with effect from 1 April 2022; and the adjustment of 3% for all members of the SMS, effective from 1 April 2022.

According to Ms Makhasi, the determination applies to SMS members who are appointed in terms of the Public Service Act, 1994 and SMS members in the South African Social Security Agency (SASSA) in terms of the SASSA Remuneration, Grading and Performance Management Framework.

However, she said the sectoral Ministers of Defence and Militarily Veterans, Justice and Correctional Services and Police will make appropriate determinations for SMS members employed in terms of the Defence Act, 2002; Correctional Services Act, 1998 and South African Police Act, 1995.

Director-General Makhasi said Public Service and Administration minister determines in terms of section 3(5)(a) of the Public Service Act, 1994, read with Regulation 89 of the 2016 Public Service Regulations, a non-pensionable cash allowance, effective from 1 April 2022 and adjustment of 3% to all members of the SMS with effect from 1 April 2022.


The MPSA approved the non-pensionable cash allowance for the period
1 April 2022 to 31 March 2023, effective from 1 April 2022, for the SMS as follows:

Salary level Allowances for full-time employees 6/8 part-time employees 5/8 part-time employees 3/8 part-time employees
SL 13 – SL 15 R1 695 R1 271 R1 059 R636
SL 16 R1 818 R1 364 R1 136 R682

The categories of SMS members who are eligible for payment of the non-pensionable cash allowance are Contract appointees, part time SMS members (i.e. 6/8, 5/8 and 3/8) and full-time SMS members appointed on or after 1 April 2021.

Ms Makhasi said any SMS member who was in the employ on April 1, 2022, but whose services were terminated, for whatever reason, before the implementation of the non-pensionable cash allowance must receive the payment of the non-pensionable monthly cash allowance for the month(s) he or she was in service.

It must be noted that during the implementation of the DPSA circular No. 13 of 2022 dealing with improvement in conditions of service for members of the SMS for 2021/22 financial year, the allowance code 0708 was created on PERSAL without the end date against the provision of paragraph 6 of the circular.

Due to the above, the members of the SMS were overpaid in terms of the payment of the non-pensionable cash allowance for the month of April 2022.

Departments were informed of the overpayment through the DPSA circular 22 of 2022 and this included a request for departments to inform SMS members in writing that errors must be rectified in terms of the overpayment of non-pensionable cash allowance.

The circular further indicated that amounts that may have been overpaid will be recovered in compliance with section 33(1) (e) of the Basic Conditions of Employment Act, 1997.

However, since there was no 100% compliance to recover the overpayment, Ms Makhasi said PERSAL will be instructed to programmatically implement the allowance from 1 May 2022.

To avoid the so-called double dipping, she said departments that complied with the DPSA circular 22 of 2022 are requested to manually capture the allowance to the members who consented to paying back the overpayment.

Payment of 3% cost of living adjustment to all SMS members

All salary notches of members of the SMS will be adjusted by 3%. PERSAL will implement the payment of the salary adjustment of 3% programmatically.

Revised salary scales and translation keys

To give effect to the adjustment with effect from 1 April 2022, the MPSA approved the following revised salary scales and translation keys to translate Public Service Act Appointees to the revised salary scale:

Appendix Occupation category and PERSAL Table Code
A Public Service Act appointees
B Translation key: full time SMS members
C Translation key: 6/8 SMS members
D Translation key: 5/8 SMS members
E Translation key: 3/8 SMS members

Payment of Pay Progression

Each department shall process the payment of the pay progression to all qualifying employees employed in the public service in respect of the applicable performance cycle in terms of the Incentive Policy Framework with effect from 1 April 2022.


The DPSA requested the National Treasury (PERSAL) to implement the cost-of-living adjustment in the following manner:

SMS members admitted to the Government Employees Pension Fund

The component basic salary and the employer contribution to the GEPF of the Total Cost-to-Employer (TCE) package are adjusted programmatically. The adjustment to the component flexible portion is added to the sub-component non-pensionable allowance as default.

SMS members not admitted to the GEPF

The adjustment to the total TCE package is added to the sub-component non-pensionable allowance (in the component flexible portion) as default. Members of the SMS are afforded the opportunity to re-structure their TCE packages, effective from 1 April 2022.

Departments must inform SMS members in writing of their revised TCE packages, the manner in which the adjustment is implemented, that errors will be rectified, and that any amounts that may have been overpaid or underpaid will be adjusted.

The DPSA Model (2022 tax year) to structure SMS TCE packages is available on the DPSA website: www.dpsa.gov.za

Should any problems arise with the implementation of this circular, departments must approach the DPSA for assistance. Where departments are not able to assist employees, they may approach DPSA through their Director-General’s for assistance.