SOCIAL DEVELOPMENT REPORTS PROGRESS ON 2023/24 AUDIT ACTION PLAN

By Precious Mupenzi.

•⁠ ⁠DSD has addressed 81% of audit findings, NDA 89%, and SASSA 98%, with outstanding issues in ICT and grants administration carried into the 2024/25 plan.
•⁠ ⁠Cabinet approved three new SASSA Regional Executive Managers to stabilise leadership in Limpopo, Free State, and Northern Cape.
•⁠ ⁠Despite unqualified financial statements, audit opinions regressed due to performance reporting weaknesses; corrective actions focused on GBV shelters, Khuseleka Centres, and OVCY services.

The Department of Social Development (DSD), together with the South African Social Security Agency (SASSA) and the National Development Agency (NDA), presented a progress report to the Portfolio Committee on Social Development in Parliament today. The briefing covered the implementation of the 2023/24 Audit Action Plan in response to the Auditor-General’s findings.

Minister Sets the Tone
Opening the session, Minister of Social Development, Ms Nokuzola Sisisi Tolashe, commended Parliament’s oversight role and stressed that audit processes must be viewed as tools for governance reform and improved service delivery rather than mere compliance. She highlighted that Cabinet had approved the appointment of three new Regional Executive Managers for SASSA in Limpopo, Free State, and Northern Cape; part of a broader commitment to stabilising leadership and strengthening accountability within the sector.
Minister Tolashe reported that DSD had successfully implemented 81% of its 2023/24 corrective actions (45 of 55 findings). She reassured the Committee that unresolved matters would be carried over into the 2024/25 financial year to ensure continuity. Similarly, the NDA had addressed 89% of its audit findings, while SASSA had resolved 98%, with only four issues still outstanding. These, she noted, related to ICT systems and Grants Administration, areas central to beneficiary service delivery.
She further emphasised that oversight at this stage is crucial as Parliament prepares to receive the Auditor-General’s 2024/25 audit outcomes. “We will not allow the Department to sink below acceptable standards. Our goal is to achieve sustainable, clean audits that reflect the values of accountability, dignity, and integrity,” said Tolashe.

Audit Outcomes and Areas of Concern
Chief Financial Officer, Ms Thandeka Ngcobo, presented the Department’s audit outcomes. While financial statements remained unqualified, confirming proper use of resources, the overall audit opinion regressed from a clean audit in 2022/23 to an unqualified audit with findings in 2023/24.
The regression was primarily due to material misstatements in the annual performance report, particularly in Programme 4 indicators. These included:
•⁠ ⁠Establishing at least one GBV shelter per district.
•⁠ ⁠Establishing at least one Khuseleka Centre per district.
•⁠ ⁠Providing Orphans and Vulnerable Children and Youth (OVCY) with a core package of services in targeted districts.
•⁠ ⁠Supporting OVCY who know their HIV status.
•⁠ ⁠Assisting HIV-positive OVCY in adhering to treatment.
Ngcobo confirmed that these programme areas remain priority interventions because of their direct impact on vulnerable groups. Corrective steps have been incorporated into the 2024/25 Audit Action Plan, with strengthened oversight from both management and the Auditor-General’s office.

Strengthening Accountability and Service Delivery
Director-General, Mr Peter Netshipale, detailed the measures being taken to improve internal controls and prevent repeat audit findings. These include:
•⁠ ⁠Enhanced monitoring and evaluation systems.
•⁠ ⁠Regular performance reviews to validate reported outcomes.
•⁠ ⁠Improved coordination across DSD, SASSA, and NDA to address cross-cutting issues.
•⁠ ⁠Targeted interventions in ICT and grants management to close existing gaps.
Netshipale stressed that beyond compliance, these reforms aim to restore public trust and ensure that every rand spent contributes to tangible improvements in social protection services.

Looking Ahead
The Department underscored its determination to embed a culture of accountability across the portfolio. Minister Tolashe emphasised that corrective actions will be monitored continuously and sustained over the Medium-Term Expenditure Framework (MTEF), ensuring long-term improvements in governance and service delivery.
“The audit process is an opportunity to strengthen our systems, not an obstacle. We remain committed to ensuring that audit outcomes translate into better services for children, youth, families, and the most vulnerable in our society,” she concluded.