Macpherson suspends EPWP funds to Free State municipality over alleged abuse

Key topics:Politicians allegedly earned inflated EPWP salaries in MatjhabengMacpherson suspends funding, orders full investigation into abusesMinister calls for urgent reform to curb political misuseSign up for your early morning brew of the BizNews Insider to keep you up to speed with the content that matters. The newsletter will land in your inbox at 5:30am weekdays. Register here.Support South Africa’s bastion of independent journalism, offering balanced insights on investments, business, and the political economy, by joining BizNews Premium. Register here.If you prefer WhatsApp for updates, sign up to the BizNews channel here.The auditorium doors will open for BNIC#2 on 10 September 2025 in Hermanus. For more information and tickets, click here..By Kerry Lanaghan.In a recent TimesLIVE report, Public Works and Infrastructure Minister Dean Macpherson suspended Expanded Public Works Programme (EPWP) funding to the Matjhabeng municipality in the Free State following explosive allegations that politically connected individuals have been benefiting improperly from the programme. According to a City Press report, the municipality has been disbursing inflated salaries to former councillors and current political office bearers, some of whom are reportedly earning over R31,000 a month, ten times more than the standard EPWP stipend. The programme is intended to offer temporary employment and skills development opportunities to unemployed South Africans, particularly youth, not to serve as a source of enrichment for politicians."The EPWP is not a vehicle for patronage," said Macpherson in a statement. "It is an essential lifeline for many in communities around the country, including in Matjhabeng, and it would be unacceptable if any politician or official is found to have used the programme for personal benefit."Macpherson emphasised that he had instructed his department to halt all EPWP fund transfers to the municipality until a full investigation into the alleged abuses is concluded.The minister also indicated that the incident is symptomatic of broader problems with the EPWP and highlighted the need for comprehensive reform. "Through the EPWP listening tour conducted nationwide, we have heard serious allegations of abuse, such as those in Matjhabeng, and it is critical that the programme be strengthened to eliminate any possibility of corruption and political patronage," he said.The suspension comes amid growing scrutiny of Free State municipalities. Parliament's Cooperative Governance and Traditional Affairs (Cogta) committee is also conducting oversight visits to several failing municipalities in the province. Macpherson vowed that after two decades of existence, the EPWP would be reformed to remain a credible platform for empowerment and job creation. "We are committed to reforming the EPWP to ensure it remains a viable platform for empowerment well into the future as we work to build a better South Africa."The investigation into Matjhabeng's EPWP operations is expected to clarify the scale of the alleged misuse and determine what disciplinary or legal action may follow.

Macpherson suspends EPWP funds to Free State municipality over alleged abuse

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