Pretoria – Minister Inkosi Mzamo Buthelezi, the Minister for Public Service and Administration, has overseen the implementation of a new salary adjustment for public servants. Circular No. 15 of 2026 outlines the 4% cost-of-living adjustment for the 2026/2027 financial year.
This adjustment, effective from 1 April 2026, applies to employees on salary levels 1 to 12 and those covered by Occupation Specific Dispensations (OSDs).
The increase gives effect to the Public Service Co-ordinating Bargaining Council (PSCBC) Resolution 1 of 2025, which established a multi-year wage framework for the public service.
While the National Treasury projected the Consumer Price Index (CPI) for 2026/27 at 3.4%, the collective agreement includes a “floor” and “ceiling” mechanism. Because the projected CPI was below 4%, the resolution mandates that the increase be deemed 4%. The adjustment is a pensionable salary increase for all qualifying staff.
The directive specifically covers employees appointed under the Public Service Act, 1994. The circular also clarified that certain groups are excluded from this specific circular, as their adjustments are handled by their respective Executive Authorities:
– Senior Management Service (SMS): Salary levels 13 to 16 will be addressed once the level 1–12 process is finalized.
– Sectoral Personnel: Employees under the South African Police Services Act, Employment of Educators Act, South African Defence Act, and Correctional Services Act.
– NPA Personnel: Those employed under the National Prosecuting Authority Act.
Beyond the standard salary scales, the circular addresses several other critical areas of public service remuneration:
– Pay Progression: Qualifying employees will receive pay progression for the 2025/26 performance cycle starting 1 July 2026.
– Interns and Developmental Programmes: Departments must ensure stipends for interns are adjusted to match the new salary scales effective 1 April 2026.
– Casual Workers: Hourly and daily rates for contract or casual employees must be calculated using a specific formula.
– Sessional Rates: Revised rates for healthcare and social service professionals (Nurses, Social Workers, Medical Officers, etc.) are included in the new appendices.
“The implementation of this 4% adjustment is a testament to our unwavering commitment to the stability of our Public Service and the sanctity of collective bargaining. By honoring the ‘floor’ mechanism within PSCBC Resolution 1 of 2025, we are ensuring that even when inflation projections sit at 3.4%, public servants on salary levels 1 to 12 receive a deemed increase that provides a meaningful cushion against the rising cost of living. This is not merely an administrative update; it is a deliberate act of support for the men and women who serve the citizens of South Africa every day,” said Minister Buthelezi.
“Beyond the immediate salary scales, we are placing significant emphasis on the future of our workforce by ensuring that intern stipends and developmental programmes are adjusted in tandem with these new scales as we forge ahead in building a capable, ethical and developmental state,” he added.
