DA petition against proposed state social security fund gains momentum: Here’s how many have signed

Proposal calls for 8% to 12% of your salary to go to compulsory government pension and insurance system

30 August 2021 - 11:00 By kyle zeeman
The DA said the proposed legislation will hit lower income earners the hardest.
The DA said the proposed legislation will hit lower income earners the hardest.
Image: 123RF/Vadim Guzhva

A petition started by the DA to “bin” government’s proposed mandatory pension and insurance system, which could see you pay between 8% and 12% of your salary to a social security fund, has been gaining traction online.

The proposal was published by social development minister Lindiwe Zulu earlier this month. She said the proposed fund is based on “social security principles of risk pooling and social solidarity”.

The green paper proposes employees earning below an income threshold of R22,320 per year should not be obliged to contribute to the fund for retirement or risk benefits but will continue to contribute to the Unemployment Insurance Fund (UIF).

In its petition, the DA said the proposed legislation will hit lower income earners the hardest.

“The DA rejects the department of social development’s absurd proposal to tax South Africans between 8% and 12% extra. Those who earn R23,000 a month and upwards will pay R2,760 a month extra in tax. 

“Even more shockingly, those who earn R8,758 a month will pay R1,050 more in tax.

“Sign this petition calling for the ANC’s proposal to be withdrawn and binned. The proposal is bizarrely backward in that it targets low-income earners rather than high-income earners by increasing their tax much more.

“South Africans are already facing extraordinary financial pressure in a shrinking economy," the petition reads.

To date it has amassed more than 36,700 signatures.

TimesLIVE recently ran a poll asking readers what they thought about the proposal.  

The poll garnered more than 6,000 votes in under 24 hours, with 95% of voters saying no to more salary cuts, 3% saying they would wait to see if it is passed, and 2% saying the proposal was a great way to look after each other.


Besides signing the petition, those who object to the proposal have until December 10 to comment.

Written submissions can be forwarded to the Director-General,  department of social development, 134 Pretorius Street, HSRC Building, Pretoria, or Private Bag X901, Pretoria 0001, and for attention John Tebeila, acting director: retirement reform, or e-mail GreenPaperCSS@dsd.gov.za or call 012 741 6820.