The DA in Gauteng demands that the Gauteng Department of Health fast-tracks the appointment of a Chief Financial Officer (CFO) to address the internal departmental systemic challenges that are severely affecting the department, including over R4.8 billion now owed to suppliers.
Companies, small businesses and those doing business with the Gauteng Department of Health continue to struggle to survive due to the department’s failure to pay for the goods and services rendered within the stipulated 30-day period. The department owes suppliers a staggering R4 811 072 375.00.
This information was revealed by the Public Service Commissioner, Vusumuzi Mavuso, during the Gauteng Department of Finance Portfolio Committee Meeting. He stated that the Department of Health has consistently maintained and remained the highest department during all previous quarters regarding late and non-payment of the service providers across the entire Gauteng Provincial Government (GPG).
In the third quarter of the 2024/2025 financial year, the Gauteng Department of Health failed to pay 23% of suppliers of goods and services within 30 days; 37% of suppliers were paid after 30 days; and 30% of suppliers did not receive payment for periods longer than 30 days.
This is indicative of the systemic failure and total disdain with which the department deals with the payment for goods and services rendered to it – irrespective of the size of the supplier and the nature of the goods supplied. Once again, SMMEs are facing business foreclosure and burgeoning unemployment because of an inability to get paid for work and goods supplied.
Furthermore, this department lacks direction and financial management due to the absence of a Chief Financial Officer whose contract was terminated late last year.
A DA-led Gauteng Provincial government would ensure that the Department of Health fills critical staff vacancies, appoints appropriately qualified personnel in top positions, and has greater monitoring and evaluating processes to ensure compliance with good governance practices.