Mind the gap — state execs earn millions

A recent analysis of 35 state-owned enterprises (SOEs) has revealed significant disparities in executive pay, with top managers earning up to 14 times more than their lowest-paid colleagues. These SOEs, which operate independently of Treasury guidelines, often compete with the private sector for skilled executives, resulting in substantial salary differences between employees.

The CEO of the South African Civil Aviation Authority, responsible for aviation regulation, earned an average of R9.7 million in 2024/25, which is 93 times higher than the average annual salary of the 102 workers in the lowest salary band, who earned R104,000 on average. Similarly, the CEO of the Road Traffic Management Corporation received R7.7 million, nearly 3 times the average salary of the next highest paid employees (R2.7 million) and 53 times the average pay of the lowest salary band (R143,000).

Many of these SOEs have a majority of employees working in unskilled roles, with the Water Research Commission, SA Maritime Safety Authority, and National Housing Finance Corporation also experiencing high income inequality. The data highlights the need for greater transparency and accountability in the pay structures of these state-owned entities.