Parliament of South Africa
Parliament of South Africa
06/05/2026 | Press release | Archived content
Media Statement: SANDF Salary Bill Pressures Cannot Be Fixed Without Comprehensive Policy Rethink
Parliament, Friday, 5 June 2026 - The Joint Standing Committee on Defence is of the considered view that the current pressures caused by the over expenditure on Compensation of Employees (COE) within the Department of Defence (DoD) demand an urgent policy review to ensure a fit-for-purpose defence force that can be sustainably funded within the current fiscal framework. The committee has emphasised the urgent need for the tabling in Parliament of the department's new policy directive, Journey to Greatness, which is intended to guide the future structure and sustainability of the South African National Defence Force (SANDF).
The committee was informed that the DoD accumulated more than R10.1 billion in irregular expenditure between the 2018/19 and 2022/23 financial years. The committee noted that the growing imbalance between personnel expenditure and operational requirements has become one of the most pressing challenges facing the defence establishment.
"The much larger problem with the defunding of the SANDF is that the resulting misalignment creates a national security risk. The defence force is unable to invest adequately in research and development, rejuvenate its capabilities, or sustain the defence industry that supports it," said the Co-Chairperson of the committee, Mr Phiroane Phala.
The committee is firmly of the view that the persistent pressures relating to employee compensation cannot be addressed in isolation and must form part of a broader review of the sustainability, structure and future role of the SANDF. The committee welcomed the assurance that the Journey to Greatness strategy has been approved by Cabinet and expressed its commitment to engaging with the strategy once it is tabled before Parliament. It emphasised that this process should be expedited given the urgency of the challenges confronting the defence force.
The committee notes with concern the continued pressure that personnel costs place on the defence budget, limiting resources available for operations, maintenance, equipment renewal and force preparedness. While the expenditure planning framework envisages a 40:30:30 ratio - with 40% allocated to personnel, 30% to operating costs and 30% to capital expenditure - the committee was informed that approximately 70% of the defence budget is now consumed by compensation of employees.
"It is untenable for the DoD to reach a point where the majority of its budget is consumed by personnel costs at the expense of operational readiness and future capability," Mr Phala said.
While the committee acknowledges the need for internal human resource measures to manage personnel costs, it cautions against approaches that focus solely on reducing employee numbers without considering the broader implications for the SANDF's constitutional mandate and operational effectiveness. "The issue of compensation of employees is not simply a budgeting challenge; it is a structural challenge that requires a comprehensive review of the SANDF. Any discussion about personnel costs must be linked to an assessment of force design, force structure, operational requirements and the long-term sustainability of the defence force," Mr Phala emphasised.
The committee is of the view that the current imbalance between personnel expenditure and operational capability continues to undermine the SANDF's ability to fulfil its responsibilities, including border safeguarding, peace support operations, disaster response and the protection of South Africa's sovereignty.
Furthermore, the diversion of resources away from capital investment towards compensation of employees undermines the defence industry, which depends on SANDF investment to remain competitive and maintain pace with international research and development standards. "The defence industry plays a critical role in job creation, technological innovation and economic growth. The current trajectory is therefore not only detrimental to the SANDF, but has far-reaching socio-economic consequences," Mr Phala added.
The committee supports efforts to undertake a comprehensive review of the SANDF to ensure that it remains fit for purpose, adequately resourced and aligned with South Africa's security requirements. Such a process should be informed by evidence-based planning, strategic foresight and meaningful engagement with all relevant stakeholders. The committee remains committed to urgently engaging on the broader discussion regarding the long-term strategy and sustainability of the SANDF.
Meanwhile, the committee welcomed the appointment of the new Secretary for Defence, Mr Bereng Mthimkhulu. It has consistently called for the finalisation of this appointment to ensure stable leadership and strategic direction within the Department of Defence.
ISSUED BY THE COMMUNICATION SERVICES ON BEHALF OF THE CO-CHAIRPERSONS OF THE JOINT STANDING COMMITTEE ON DEFENCE, MR PHIROANE PHALA AND DR MALUSI GIGABA.
For media enquiries or interviews with the Chairpersons, please contact the committee's Media Officer:
Name: Malatswa Molepo (Mr)
Parliamentary Communication Services
Tel: 021 403 8438
Cell: 081 512 7920
E-mail: [email protected]
The committee was informed that the DoD accumulated more than R10.1 billion in irregular expenditure between the 2018/19 and 2022/23 financial years. The committee noted that the growing imbalance between personnel expenditure and operational requirements has become one of the most pressing challenges facing the defence establishment.
"The much larger problem with the defunding of the SANDF is that the resulting misalignment creates a national security risk. The defence force is unable to invest adequately in research and development, rejuvenate its capabilities, or sustain the defence industry that supports it," said the Co-Chairperson of the committee, Mr Phiroane Phala.
The committee is firmly of the view that the persistent pressures relating to employee compensation cannot be addressed in isolation and must form part of a broader review of the sustainability, structure and future role of the SANDF. The committee welcomed the assurance that the Journey to Greatness strategy has been approved by Cabinet and expressed its commitment to engaging with the strategy once it is tabled before Parliament. It emphasised that this process should be expedited given the urgency of the challenges confronting the defence force.
The committee notes with concern the continued pressure that personnel costs place on the defence budget, limiting resources available for operations, maintenance, equipment renewal and force preparedness. While the expenditure planning framework envisages a 40:30:30 ratio - with 40% allocated to personnel, 30% to operating costs and 30% to capital expenditure - the committee was informed that approximately 70% of the defence budget is now consumed by compensation of employees.
"It is untenable for the DoD to reach a point where the majority of its budget is consumed by personnel costs at the expense of operational readiness and future capability," Mr Phala said.
While the committee acknowledges the need for internal human resource measures to manage personnel costs, it cautions against approaches that focus solely on reducing employee numbers without considering the broader implications for the SANDF's constitutional mandate and operational effectiveness. "The issue of compensation of employees is not simply a budgeting challenge; it is a structural challenge that requires a comprehensive review of the SANDF. Any discussion about personnel costs must be linked to an assessment of force design, force structure, operational requirements and the long-term sustainability of the defence force," Mr Phala emphasised.
The committee is of the view that the current imbalance between personnel expenditure and operational capability continues to undermine the SANDF's ability to fulfil its responsibilities, including border safeguarding, peace support operations, disaster response and the protection of South Africa's sovereignty.
Furthermore, the diversion of resources away from capital investment towards compensation of employees undermines the defence industry, which depends on SANDF investment to remain competitive and maintain pace with international research and development standards. "The defence industry plays a critical role in job creation, technological innovation and economic growth. The current trajectory is therefore not only detrimental to the SANDF, but has far-reaching socio-economic consequences," Mr Phala added.
The committee supports efforts to undertake a comprehensive review of the SANDF to ensure that it remains fit for purpose, adequately resourced and aligned with South Africa's security requirements. Such a process should be informed by evidence-based planning, strategic foresight and meaningful engagement with all relevant stakeholders. The committee remains committed to urgently engaging on the broader discussion regarding the long-term strategy and sustainability of the SANDF.
Meanwhile, the committee welcomed the appointment of the new Secretary for Defence, Mr Bereng Mthimkhulu. It has consistently called for the finalisation of this appointment to ensure stable leadership and strategic direction within the Department of Defence.
ISSUED BY THE COMMUNICATION SERVICES ON BEHALF OF THE CO-CHAIRPERSONS OF THE JOINT STANDING COMMITTEE ON DEFENCE, MR PHIROANE PHALA AND DR MALUSI GIGABA.
For media enquiries or interviews with the Chairpersons, please contact the committee's Media Officer:
Name: Malatswa Molepo (Mr)
Parliamentary Communication Services
Tel: 021 403 8438
Cell: 081 512 7920
E-mail: [email protected]
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