The ANC is auditing its employees after the party discovered a significant number of "ghost workers" on the payroll.
The Sunday Times has learnt that the issue of ghost workers emerged in the struggle to find money to pay party employees on time and at a point where the ANC's income has dwindled.
Employees are expected to protest on Tuesday outside ANC headquarters in Luthuli House, Johannesburg, and at its regional offices to air grievances.
One of the biggest reasons for the ballooning salary bill is said to be the secretary-general's office, which employs about 20 people, more than double the number before Ace Magashule took office.
The presidency is said to have about 10 on the payroll but only half are believed to do actual work.
According to insiders, the party could do without about half of its 387 staff because there are many on the payroll who do no work.
Insiders said a Jacob Zuma aide, Siya Sintwa, remained on the Luthuli House payroll even though he had never reported for work. Sintwa refused to comment. A source close to him said he had moved to Magashule's office.
The office of ANC deputy president David Mabuza has employed former youth league president Collen Maine as an adviser. Maine referred the Sunday Times to party spokesperson Pule Mabe.
Luthuli House also pays the salaries of full-time office bearers of its leagues, nine provincial secretaries, 54 regional secretaries and other officials based in provincial offices.
"The only solution is to conduct a roll call," said a member of the ANC national executive committee (NEC).
"Call everybody to a meeting outside of Luthuli House and tell all of them to go to their offices. Some of them would have nowhere to go."
Another party leader said: "There are ghost workers. They don't come to work. No-one knows what they do. They are the ones ballooning ANC's payroll."
Some employees became redundant when the current national officials arrived with their staffs following the party's 2017 elections.
Luthuli House insiders say there is no culture in the ANC of letting people go.
That building is too big. I think you just need three floors ... the rest you can let
— ANC NEC member on the party’s struggle to pay a bloated wage bill
"Another problem is that, for example, Ace comes in as the new [secretary-general]. There was already support staff of [Gwede] Mantashe [the previous secretary-general]. When the new SG comes, he comes in with his own people," said another source.
"Staff is ballooning because officials come with their own people who get permanent contracts and then, when those officials leave and the new ones come in with their own people, those ones remain because the company has got permanent contracts with them."
Treasurer-general Paul Mashatile is using the audit to find where the party can cut its salary bill. Mashatile told the NEC the party was looking to retrench at least 50% of staff. He could not be reached for comment.
The ANC relies heavily on the Independent Electoral Commission (IEC) for funding, which amounts to about R80m a year.
The party, however, experienced problems with this income stream when the South African Revenue Service garnisheed (attached) its account, taking a big part of the IEC money to settle the ANC's huge tax bill. An NEC member blamed the Political Funding Act for the shortfall and said the party did not have "resources as we did before".
The situation is so bad that, according to an NEC member there are now suggestions for the ANC to lease parts of Luthuli House.
"There are plans to downscale and the treasurer is looking at that," the member said. "That building is too big. I think you just need three floors there and the rest of the floors you can let out and get rental. Because we are battling to pay salaries."
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.