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MBABANE COUNCIL SPENDS OVER E41M ON 115 EMPLOYEES

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MBABANE – Arguably, the Municipal Council of Mbabane is one of the highest paying employers of Eswatini.


This strong observation stems from the fact that the municipality spent over E41.3 million paying its 115 employees in the last financial year.
If these employees were paid equally, each could be salaried at E29 000 per month.


The amount of money spent by the municipality on its staff was disclosed by the Financial Director, Nhlanhla Vilakati.
Vilakati was speaking at Mountain Inn yesterday where the municipality met with its stakeholders.


According to the financial report, during the past financial year, there were three resignations, three engagements and one retrenchment.
The meeting, which entailed the presentation of financials and queries from the stakeholders, lasted about five hours.
When making his presentation, Vilakati noted that the municipality had increased its revenue.


Implementation


He said the increase in revenue was mainly as a result of increased rates in vacant properties and the implementation of council’s new rating structure, as well as increases in other revenue categories.
This revenue, according to the unqualified annual report, reflected 17 per cent increment. Also, the operating income increased by three per cent.
Further, he said the restructuring process which was completed in 2017 had resulted in a nil amortisation of the process. The restructuring grant was E8.1 million.


Borrowing


“The increase is as a result of increased borrowing from E5 million in 2017 to E24 million in 2018, which resulted in an increase in finance costs.”
Vilakati further said the increase in repairs and maintenance was mainly due  to potholes patching, as well as vehicle maintenance costs. The patching of potholes at the municipality is one of the services that were outsourced.


In the past financial year, it was said to have increased to E6 million compared to E4.3 million spent in 2017.


Remuneration


He further reported that there had been a decrease in councilors’ remuneration. Vilakati attributed the decrease to be a result of fewer councillors meetings during the year. In the 2017/2018 financial year, there were 366 meetings, while in the previous year, there were 490.
He further highlighted that the municipality spent E58 million on the rehabilitation of roads. These roads included Matsholo, Ncoboza, Mdzimba roads and the widening of Gwamile, Mphakatsi and Pholinjane roads.

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