1. PROPOSED MODEL FOR THE INTRODUCTION OF A RURAL/REMOTE ALLOWANCE
PHSDSBC – 28 MARCH 2019

2. PURPOSE
To request the PHSDSBC to-
note the model, methodology and approach;
support the criteria of identifying areas;
support the identified areas; and
support that the model be adopted.

3. PURPOSE FOR INTRODUCING ALLOWANCE
For the circumstantial payment of a rural allowance to incentivize Social Services Professions in identified rural areas in terms of the demarcation principles to ensure equality within the sector.
To ensure equity and equality in the Public Service in general and between DSD and Health specifically;
Improvement in services through the retention of SSP’s in specifically demarcated areas that are classified as remote with higher levels of poverty.

4. BACKGROUND
The Social Development Sector is struggling to attract and retain social workers in inhospitable areas.
A service provider (CSIR) was appointed to scientifically identify areas through a GIS study to ensure that incentives are paid appropriately.
During the first phase of the project qualitative research was conducted in the form of focus groups and during the second phase a remoteness/incentive index was developed.

5. BACKGROUND (continue)
The model for the payment of a rural/remote allowance was presented to the Social Development MINMEC during August 2010 which was consequently approved for implementation.
The DPSA was approached on three occasions to request that the Mandate Committee convene to approve sufficient funds in the Adjusted Estimates of Expenditure and over the MTEF to fund the implementation

6. EVIDENCE FOR AND EXTENT OF THE PROBLEM
Although the OSD for SSP & related Occupations made wide ranging provisions to attract and retain SSPs, the sector is still struggling in rural areas to attract and retain SSPs thereby compromising the provision of services to the poorest and most vulnerable sectors of society.
Researchers established a general reluctance by SSPs to work in rural areas due to poor infrastructure, housing, schools, shopping malls and services found in urban/semi urban areas.
This is evident in the vacancy rate in rural areas that ranges between 12 and 14% in certain provinces.
Higher recruitment cost due to repeated advertising of posts.
The turnover of SSPs results largely from movement between NGOs, government departments, private and corporate sector, as well as migration from rural to urban areas and to other countries. gh

7. RATIONALE
Targeted intervention to incentivize SSPs to work in remote/rural areas.
Allowance seeks to provide partial relief for the inconvenience of being stationed in inhospitable areas.
Allowance aims to assist with amongst others transport / travel, schooling, housing and social amenities.
Payment of the allowance will ensure equality within the Health and Social Development Sector.

8. PRODUCING AN INDEX
Two factors (living and physical working conditions) were identified during qualitative consultations.
The two factors were quantified through variables, namely: living conditions by incorporating the urban functional index which is the degree to which people in a specific area have access to a variety of urban functions and services, and working conditions by incorporating the condition of roads as well as profiling the population in terms of poverty.
Living conditions>> indicated by >>Accessibility index
Working conditions >>indicated by>> Work burden index
Incentive index based on combination of Accessibility and work burden indexes, classified into 6 categories.

9. MODEL Working Conditions Accessibility Index Living Conditions
Incentive Index
Work Load / Volume
Work Burden Index
Proportion of Poverty

10. INTERPRETING THE INDEX
Definition
Allow.
1-2
Areas might contain small poverty pockets. Individuals can however live in excellent residential areas and commute to less favourable areas on a daily basis. Individuals can maximize quality of life by weighing up home and work environments. No 3
Area generally fall into sparsely populated ‘deep rural’ areas, which are relatively far from big towns and cities. Shares characteristics with categories 4 & 6, without the large proportion of poor.
Yes 4
Similarly ‘deep rural’ but with much higher poverty ratios. 5
Area is quite isolated with high concentration of poverty extending over a large area. 6
Area is more isolated than category 5, with equally high concentration of poverty extending over a large area.

11. FACTORS/VARIABLES TO DEFINE RURALNESS
Distances travelled for work
Lack of resources and facilities
Lack of basic services
Remoteness/inaccessibility
Poor access to information
Poverty and underdevelopment
Livelihood options
Settlement patterns
Language and cultural factors

12. IDENTIFIED AREAS PER PROVINCE
Index
KZN FS EC NC WC
MPU
LIM NW GP
Total 3 37 8 7 6 16 5 98 4 24 35 18 1 22 73
188 19 12 21 2 13 10 9 86 15 28 82 55 56 51
100 36
400
SSPs stationed in Gauteng will not qualify for the payment of a rural allowance.

13. POST ESTABLISHMENT (INDEX 3 – 6)
PROVINCE
Total Funded Posts
Filled Posts
Funded Vacant posts
Eastern Cape
3023
3000 23
Free State
651
554 97
Gauteng
KwaZulu Natal
963
Limpopo
2307
2247 60
Mpumalanga
1687
1660 27
Northern Cape
507
439 68
North West
1268
1123
145
Western Cape 8
Total
10414
9994
420
Analysis: The overall vacancy rate is 4% but if you do the calculation per province the vacancy rate is much more higher e.g. FS – 14.9%, NC – 13.4% and NW – 11.4%

14. VACANCIES PER INDEX Province Index3 Index 4 Index 5 Index6 Filled
Vacant EC
851 7
826
1323 9 FS
309 57
167 78 40 GT
KZN
423
456 84
LIM
1846 48
341 12 60
MPU
470 1
1190 26 NC 15
340 55 NW
332 17
459 95
273 24 59 WC 6 2
Total
4252
142
3781
195
1902 34 49
Vacancy rate
3.3%
5.2%
1.8%
83%

15. INCENTIVE PROPOSALS TO MINMEC
Option
Proposal
A (Sliding)
9,12,15 & 18% allowance to incentive index areas 3,4,5 & 6 respectively. B
6,8,10 & 12% allowance for index areas 3,4,5 & 6 respectively. C
9/12,12/15 & 15/18% allowance to incentive index areas 4,5 & 6 respectively. D
6/8,8/10 & 10/12% allowance for index areas 4,5 & 6 respectively.
E (Fixed)
R1000, R1200, R1350 & R1500 paid to officials in identified areas 3,4,5 & 6 respectively. F
R1200, R1350 & R1500 paid to officials in identified areas 4,5 & 6 respectively.

16. Financial Implications for filled and vacant post – OPTION 1
Occupational Category
Costing – Index 3
Costing – Index 4
Costing – Index 5
Costing – Index 6
Total Cost
Costing for all 4 categories R R R R R
Costing for Social Workers R R R R R
Costing excluding SAW R R R R R
Costing for SW and CDP R R R R R
Index level
Allowance pm
Allowance pa 3
R1,000
R12,000 4
R1,200
R14,400 5
1,350
R16,200 6
R1,500
R18,000

17. Financial Implications for filled and vacant post – OPTION 2
Occupational Category
Costing – Index 3
Costing – Index 4
Costing – Index 5
Costing – Index 6
Total Cost
Costing for all 4 categories R R R R R
Costing for Social Workers R R R R R
Costing excluding SAW R R R R R
Costing for SW and CDP R R R R R
Index level
Allowance pm
Allowance pa 3
R800
R9,600 4
R1,000
R12,000 5
R1,200
R14,400 6
R1,350
R16,200

18. Financial Implications for filled and vacant post – OPTION 3
Occupational Category
Costing – Index 3
Costing – Index 4
Costing – Index 5
Costing – Index 6
Total Cost
Costing for all 4 categories R R R R R
Costing for Social Workers R R R R R
Costing excluding SAW R R R R R
Costing for SW and CDP R R R R R
Index level
Allowance pm
Allowance pa 3
R600
R7,200 4
R800
R9,600 5
R1,000
R12,000 6
R1,200
R14,400

19. Financial Implications for filled and vacant post – OPTION 4
Occupational Category
Costing – Index 3
Costing – Index 4
Costing – Index 5
Costing – Index 6
Total Cost
Costing for all 4 categories R R R R R
Costing for Social Workers R R R R R
Costing excluding SAW R R R R R
Costing for SW and CDP R R R R R
Index level
Allowance pm
Allowance pa 3
R400
R4,800 4
R600
R7,200 5
R800
R9,600 6
R1,000
R12,000

20. IMPLEMENTATION APPROACH
Full scale implementation or phased in approach;
Phased in implementation supported;
Decision of phasing in approach:
By occupations;
By area; or
Combination of occupations and areas
Benefits of phased in approach:
Effective implementation;
Lessons applied to other occupation / areas.

21. It is recommended that Labour-
RECOMMENDATION
It is recommended that Labour-
notes the model, methodology and approach;
supports the criteria of identifying areas;
supports the identified areas; and
supports that the model be adopted.

22. THANK YOU